Financial Analysis: Measuring Return on Investment (ROI)
Measuring Return on Investment (ROI) is a crucial aspect of financial analysis, providing valuable insights into the effectiveness of an investment. By quantifying the relationship between the gains and costs associated with an investment, ROI helps organizations assess the potential profitability, make informed decisions, and optimize their financial strategies. Understanding the principles and applications of ROI is essential for businesses seeking to maximize returns and mitigate risks in their investments.
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