RETURN ON INVESTMENT

Pronunciation (US):

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IPA (US):

 Dictionary entry overview: What does return on investment mean? 

• RETURN ON INVESTMENT (noun)
  The noun RETURN ON INVESTMENT has 1 sense:

1. (corporate finance) the amount, expressed as a percentage, that is earned on a company's total capital calculated by dividing the total capital into earnings before interest, taxes, or dividends are paid

  Familiarity information: RETURN ON INVESTMENT used as a noun is very rare.

 Dictionary entry details 

• RETURN ON INVESTMENT (noun)

Sense 1

Meaning:

(corporate finance) the amount, expressed as a percentage, that is earned on a company's total capital calculated by dividing the total capital into earnings before interest, taxes, or dividends are paid

Classified under:

Nouns denoting time and temporal relations

Synonyms:

return on invested capital; return on investment; ROI

Hypernyms ("return on investment" is a kind of...):

rate of return (the amount returned per unit of time expressed as a percentage of the cost)

Domain category:

corporate finance (the financial activities of corporation)