Md Azher Hossain

Understanding ROI: A Key Metric for Evaluating Investment Profitability. What is ROI and Why is it Important? ROI, or Return on Investment, is a financial metric used to evaluate the profitability of an investment. It is a ratio that compares the net profit earned from an investment to the amount of money invested. ROI is an essential metric for businesses as it helps them make informed decisions about their investments and assess the performance of their marketing campaigns, projects, and other initiatives. How to Calculate ROI? Calculating ROI involves dividing the net profit by the investment amount and multiplying the result by 100 to express it as a percentage. The net profit is calculated by subtracting the total cost of the investment, including all associated expenses, from the total revenue generated by the investment. The investment amount includes all costs associated with the investment, such as purchasing, production, and marketing costs. Positive, Negative, and Zero ROI: ...