Economics B A-Level
Return on investment (ROI)
What Return on investment (ROI) means in Economics B A-Level, as defined for Pearson Edexcel.
Definition of Return on investment (ROI)
Check what you remember
Read the wording for your board, then hide it and explain Return on investment (ROI) in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: Pearson Edexcel
A measure of financial performance, calculated or interpreted as financial gain relative to capital expenditure, satisfying shareholders.
Topics that use Return on investment (ROI)
- Business objectives (Pearson Edexcel A-Level)
Related terms
- Market share
- Principal-agent problem
- Profit maximisation
- Sales maximisation
- Survival
- Cost efficiency
- Satisficing
Using Return on investment (ROI) in the exam
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