Return on Investment Calculator

Written by CFI Team

Read Time 1 minutes

Over 2 million + professionals use CFI to learn accounting, financial analysis, modeling and more. Unlock the essentials of corporate finance with our free resources and get an exclusive sneak peek at the first module of each course. Start Free

Return on Investment Calculator

This return on investment calculator will show you how to calculate ROI using four different approaches.

Below is a preview of the return on investment calculator:

Return on Investment Calculator Template Screenshot

Download the Free Template

Enter your name and email in the form below and download the free template now!

Return on investment (ROI) is a financial ratio used to calculate the benefit an investor will receive in relation to their investment cost – most commonly measured as net income divided by the original cost of the investment. The higher the ratio, the greater the benefit earned.

There are several versions of the ROI formula. The two most commonly used are shown below:

ROI = Net Income / Cost of Investment or ROI = Investment Gain / Investment Base

This ROI calculator will demonstrate four ways to obtain the ROI value: net income method, capital gain method, total return method, and annualized ROI.

More Free Templates

For more resources, check out our business templates library to download numerous free Excel modeling, PowerPoint presentation, and Word document templates.

Additional Resources

CFI is a global provider of financial modeling courses and of the FMVA Certification. CFI’s mission is to help all professionals improve their technical skills. If you are a student or looking for a career change, the CFI website has many free resources to help you jumpstart your Career in Finance. If you are seeking to improve your technical skills, check out some of our most popular courses. Below are some additional resources for you to further explore:

The Financial Modeling Certification

Analyst Certification FMVA® Program

The Financial Modeling Certification

Below is a break down of subject weightings in the FMVA® financial analyst program. As you can see there is a heavy focus on financial modeling, finance, Excel, business valuation, budgeting/forecasting, PowerPoint presentations, accounting and business strategy.

A well rounded financial analyst possesses all of the above skills!

Additional Questions & Answers

CFI is the global institution behind the financial modeling and valuation analyst FMVA® Designation. CFI is on a mission to enable anyone to be a great financial analyst and have a great career path. In order to help you advance your career, CFI has compiled many resources to assist you along the path.

In order to become a great financial analyst, here are some more questions and answers for you to discover:

Excel Tutorial

The Financial Modeling Certification

Launch CFI’s Excel Course now

to take your career to the next level and move up the ladder!

Accounting Crash Courses

The Financial Modeling Certification

Boost your confidence and master accounting skills effortlessly with CFI’s expert-led courses! Choose CFI for unparalleled industry expertise and hands-on learning that prepares you for real-world success.