ROI Calculator

Calculate Return on Investment.

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ROI Calculator
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The Finzorio Return on Investment (ROI) Calculator calculates simple percentage gain or loss across business projects, commercial purchases, marketing campaigns, and asset investments.

Understanding Return on Investment (ROI)

Return on Investment (ROI) evaluates the performance efficiency of an investment by comparing net profit directly against total money committed.

ROI Formula

ROI (%) = [(Net Profit / Total Investment Cost)] × 100
  • Net Profit = Final Revenue / Sale Proceeds minus Total Original Cost
  • Total Investment Cost = Initial capital outlay + operational expenses

Worked Example: Business Capital Outlay ROI

Project: ₹5,00,000 invested in equipment, generating ₹7,50,000 gross revenue.

• Net Profit = ₹7,50,000 - ₹5,00,000 = ₹2,50,000
Calculated ROI = (2,50,000 / 5,00,000) × 100 = 50.0%.

Frequently Asked Questions

Simple ROI ignores the time duration of the investment. A 50% ROI over 1 year is extraordinary, but a 50% ROI over 10 years translates to less than 4.1% annual growth.