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HOW TO CALCULATE ROI




           miketurco.com
This presentation is simple
But it moves fast!
So go grab the ROI workbook



           at miketurco.com/roi
ROI tells you How Much Money

    Your Money Earned
Here is the ROI formula



ROI=                      100
Here is the ROI formula


        Net Profit
ROI=                      100
Here is the ROI formula


        Net Profit
ROI= Investment           100
Here is the ROI formula


        Net Profit
ROI= Investment           100
  Expressed as a Percentage
Zero Percent is the Break Even Point
  If you buy something for a dollar

        and sell it for a dollar

           your ROI is 0%
100% means you Doubled your Money
    If you buy something for a dollar

           and sell it for two

            your ROI is 100%
Example: Buy/Sell a car
• You bought a used car for $1200
• You sold the car for $1800
• So your Net Profit was $600
 What was the Return on your Investment?
Example: Buy/Sell a car
• Your Investment was $1200
• Your net profit was $600


   Your Return on Investment was 50%

     ROI = 600 x 100 = 50%
           1200
Example: Buy/Sell Stock
• You Invested $2000 in stock
• One year later, You sold the stock for $1200
• So your net profit was -$600
     So, what was the Return on your Investment?



    ROI =        Net Profit x 100
                Investment
Example: Buy/Sell Stock
• You Invested $2000 in stocks
• One year later, You sold the stock for 1200
• So your net profit was -600
 When you plug your numbers into the formula, you see that
  your Return on Investment was a Negative Thirty Percent


         ROI = -600 x 100 = -30%
               2000
MIKETURCO.COM




Email: mike@miketurco.com
      Phone: (310) 714-9669

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How to Calculate ROI

  • 1. HOW TO CALCULATE ROI miketurco.com
  • 3. But it moves fast!
  • 4. So go grab the ROI workbook at miketurco.com/roi
  • 5. ROI tells you How Much Money Your Money Earned
  • 6. Here is the ROI formula ROI= 100
  • 7. Here is the ROI formula Net Profit ROI= 100
  • 8. Here is the ROI formula Net Profit ROI= Investment 100
  • 9. Here is the ROI formula Net Profit ROI= Investment 100 Expressed as a Percentage
  • 10. Zero Percent is the Break Even Point If you buy something for a dollar and sell it for a dollar your ROI is 0%
  • 11. 100% means you Doubled your Money If you buy something for a dollar and sell it for two your ROI is 100%
  • 12. Example: Buy/Sell a car • You bought a used car for $1200 • You sold the car for $1800 • So your Net Profit was $600 What was the Return on your Investment?
  • 13. Example: Buy/Sell a car • Your Investment was $1200 • Your net profit was $600 Your Return on Investment was 50% ROI = 600 x 100 = 50% 1200
  • 14. Example: Buy/Sell Stock • You Invested $2000 in stock • One year later, You sold the stock for $1200 • So your net profit was -$600 So, what was the Return on your Investment? ROI = Net Profit x 100 Investment
  • 15. Example: Buy/Sell Stock • You Invested $2000 in stocks • One year later, You sold the stock for 1200 • So your net profit was -600 When you plug your numbers into the formula, you see that your Return on Investment was a Negative Thirty Percent ROI = -600 x 100 = -30% 2000

Editor's Notes

  1. This workbook goes along with the How to Calculate ROI Video at http://miketurco.com/roi .
  2. I am adding text here….
  3. This is another option for an Overview slide.
  4. This is another option for an Overview slide.
  5. This is another option for an Overview slide.
  6. This is another option for an Overview slide.
  7. This template can be used as a starter file for presenting training materials in a group setting.SectionsRight-click on a slide to add sections. Sections can help to organize your slides or facilitate collaboration between multiple authors.NotesUse the Notes section for delivery notes or to provide additional details for the audience. View these notes in Presentation View during your presentation. Keep in mind the font size (important for accessibility, visibility, videotaping, and online production)Coordinated colors Pay particular attention to the graphs, charts, and text boxes.Consider that attendees will print in black and white or grayscale. Run a test print to make sure your colors work when printed in pure black and white and grayscale.Graphics, tables, and graphsKeep it simple: If possible, use consistent, non-distracting styles and colors.Label all graphs and tables.