Investor Training Video 1 - Return on Investment
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Essentially what I mean is after you have made your initial investment back your returns would be infinite, am I correct?
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If you invested 100 and you get $25 per month on the 5th month every $25 you make would the ROI be 100%
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@ vaughnburrows - yes, after you have your initial investment back your return would be infinite. It has also been reasoned that until you get all of your principal back there are no profits. This video takes the simplest approach to calculating ROI. There is a more complicated method of calculating ROI which involves dividing your profits by your outstanding capital account (capital account = original investment - funds returned). Usually done using a spreadsheet to show ROI over many years
HassleFreeCashFlow 5 months ago