Business Studies, asked by jain2792, 9 months ago

What will be the cost of investment if net profit is 200 and return on investment is 50%?

Answers

Answered by Anonymous
0

Explanation:

ROI is a simple ratio of the gain from an investment relative to its cost. It is as useful in ... The ROI calculation has "net return" rather than "net profit or gain" in the numerator. This

Answered by PiaDeveau
0

Cost of investment = 400

Explanation:

Given:

Net profit during the year = 200

Return on investment = 50% = 50 / 100 = 0.50

Cost of investment = ?

Computation of Cost of investment:

Return on investment = Net profit during the year / Cost of investment

0.50 = 200 / Cost of investment

Cost of investment = 200 / 0.50

Cost of investment = 400

Therefore Cost of investment is 400.

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