Given the following information, calculate the firm's "return on investment" (ROI). Net sales: $20,000,000
Net profit (after taxes): $500,000
Investment: $10,000,000
A) 20%
B) 50%
C) 10%
D) 2.5%
E) 5%

Name: Given the following information, calculate the firm's "return on investment" (ROI). Net sales: $20,000,000 Net profit (after taxes): $500,000 Investment: $10,000,000 A) 20% B) 50% C) 10% D) 2.5% E) 5%
Brand: Quizplus
Rating: 4.8 (26 reviews)

Question

Quizplus · Accepted Answer

ROI is calculated as (Net Profit / Investment) * 100. Here, ($500,000 / $10,000,000) * 100 = 5%.

Given the Following Information, Calculate the Firm's "Return on Investment