ECONOMICS
SAVING AND INVESTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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the ROI percentage
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the ROI dollar amounts
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the total return dollar amounts
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the initial investment amounts
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Detailed explanation-1: -Since you hold investments for different periods of time, the best way to compare their performance is by looking at their annualized percent return.
Detailed explanation-2: -What Is a Good ROI? According to conventional wisdom, an annual ROI of approximately 7% or greater is considered a good ROI for an investment in stocks. This is also about the average annual return of the S&P 500, accounting for inflation.
Detailed explanation-3: -Return on investment (ROI) is an approximate measure of an investment’s profitability. ROI is calculated by subtracting the initial cost of the investment from its final value, then dividing this new number by the cost of the investment, and finally, multiplying it by 100.
Detailed explanation-4: -The easiest way to calculate ROI is to express it as a percentage, gain or loss, of the initial capital sum.