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Return on Investment – Indicator for Measuring the Profitability of Invested Capital

Author

Listed:
  • Zamfir Mariana

    ()

  • Manea Marinela Daniela
  • Ionescu Luiza

    (Valahia University of Targoviste, Romania)

Abstract

The decision of investment is a strategic decision and it is an integral part of the general policy of the company. The purpose of this paper is to present the manner in which the ROI (Return on Investment) indicator can be used in the analysis of investment projects.

Suggested Citation

  • Zamfir Mariana & Manea Marinela Daniela & Ionescu Luiza, 2016. "Return on Investment – Indicator for Measuring the Profitability of Invested Capital," Valahian Journal of Economic Studies, Sciendo, vol. 7(2), pages 79-86, December.
  • Handle: RePEc:vrs:vaecst:v:7:y:2016:i:2:p:79-86:n:10
    as

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    More about this item

    Keywords

    capital; investment; profitability; net present value; working capital;

    JEL classification:

    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting
    • O22 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Project Analysis

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