Asked by Tanyushka Little on Jun 06, 2024
Verified
________ is the additional sum of money expected from an investment over and above the original investment.
A) Return on sale
B) Net sale
C) Return allowance
D) Return on investment
E) Contribution margin
Return on Investment
A financial metric used to evaluate the efficiency or profitability of an investment, calculated by dividing the profit gained from an investment by the cost of the investment.
Original Investment
The initial amount of money used to purchase an asset, start a business venture, or invest in a financial instrument.
- Comprehend the principle of return on investment and the methodology for its calculation.
Verified Answer
ZK
Zybrea KnightJun 07, 2024
Final Answer :
D
Explanation :
Return on investment (ROI) is the correct term for the additional sum of money expected from an investment over and above the original investment. It measures the efficiency or profitability of an investment.
Learning Objectives
- Comprehend the principle of return on investment and the methodology for its calculation.
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