ROI Calculator

Calculate return on investment and annualized returns.

How to Use

Enter your values and get instant results. Free, no signup required. Perfect for AP/IB Economics students.

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How to Use the Formula

Calculate return on investment and annualized returns. Before calculating, identify what each input measures, the units involved, and whether the answer should be a dollar amount, percentage, index value, ratio, or quantity. Most formula mistakes come from mixing up units or forgetting what the result is supposed to represent.

Interpret the Result

After you compute the answer, explain it in plain language. Ask whether the result is large or small, what would make it rise or fall, and how a consumer, firm, investor, or policymaker might respond. That final interpretation is what turns math into economic reasoning.