An investment of $5000 in biotech common stock proved to be very profitable. at the end of 3 years the stock was sold for $25,000. what was the rate of return on the investment?

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25-10-2016
Business

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An investment of $5000 in biotech common stock proved to be very profitable. at the end of 3 years the stock was sold for $25,000. what was the rate of return on the investment?

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Аноним Аноним · Answer 1 · 2016-11-07T12:34:03+01:00

Thank you for posting your question here at brainly. The rate of return on the invest is 500%.

ROI is usually expressed as a percentage and is typically used for personal financial decisions, to compare a company's profitability or to compare the efficiency of different investments. The return on investment formula is: ROI = (Net Profit / Cost of Investment) x 100.

therefore: 25,000/ 5000 = 5 x 100 = 500%