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Sauron [17]
2 years ago
15

A company made a profit of $75,000 over a period of 6 years on an initial investment of $15,000. What is its annualized ROI?

Business
1 answer:
Slav-nsk [51]2 years ago
6 0
Return on  Investment = 83% or 0.83

total Profit = 75000
term = 6 yrs
annual profit = 75000 / 6 = 12500
initial investment = 15000

ROI = Net  Profit / Total Asset
       = 12500 / 15000
       = 0.83  or  83% (0.83 x 100%)
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