Project Return on Investment (ROI)

Definition of Project Return on Investment (ROI):

An indicator used to measure the financial savings/gain (or loss) of a project in relation to its cost. Typically, it is used in determining whether a project will yield positive financial benefits, and in turn giving approval to proceed. The formula for a Project ROI = ((project’s financial gain or loss – project’s cost) / project’s cost) X 100.

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