Hi Guy,

while trying to solve a case I had a issue with the ROI calculation.

I have no problem with coming up with the revenues or profit.

But from my understanding ROI is:

(Profit-Cost of Investment)/Cost of Investment which here would give me 113M-100M / 100 M = 13%

Here they simply divide Net profit/Cost of Investment 

113/100 but this would give 113%.

I think the first formula is the right one especially as CAPEX of 100M is not directly included in an income statement only depreciation maybe.

Any thoughts or clarifying explanation would be appreciated.

Maxi