Use HowUae ROI calculator to see how much you can earn on your investments in the UAE. It’s easy to use and shows your gains, total investment, and yearly growth.
Return on Investment Calculator UAE
Results
| Result Type | Value (AED) |
|---|---|
| Investment Amount: | AED |
| Total Amount Gained on Investment: | AED |
| Invested Amount: | AED |
| Return on Investment (ROI): | % |
| Annual Growth Rate: | % |
Also, use: Calculate UAE Fixed Deposits | Dubai Mortgage Estimator | Calculate Car Loan in UAE | UAE Debt Ratio Estimator
What is the Return on Investment Calculator AED?
A Return on Investment ROI calculator Online is a tool that helps individuals and businesses to evaluate their investments. It’s a quick and easy way to calculate the return on a investment, that’s why it’s a must have for financial planning. With a ROI (Return on Investment) calculator you can see how your investments are performing whether its in stocks, real estate or any other asset class. By inputting the invested amount and investment returns you can get the ROI Calculation and annual growth rate and make informed decisions about your financial future.
Understanding the Terms Used in ROI Calculator
Before you jump into the world of Capital Gain it’s good to understand the terms used in Investment Profit Calculator.
Input Terms in Financial ROI Calculator:
- Invested Amount: This is the initial capital or principal amount of money you invested in a financial venture or asset. This is the amount you put into an investment at the beginning.
- Investment Returns: Investment returns are the profits or gains from your investment. This includes any income, dividends, interest or capital gains earned from the investment over a period of time.
- Investment Period: This is the time you have held the investment. It can be in years or months depending on the time frame you want to analyze.
Output Terms In ROI Calculator:
- Investment Amount: The total value of your investment including the original invested amount and any returns or gains.
- Total Amount Gained on Investment: This is the total profits or gains you have earned from your investment. This is calculated by subtracting the invested amount from the investment amount.
- Invested Amount: The original capital or principal amount you invested, in the same currency as the “Invested Amount” input.
- Return on Investment (ROI): ROI is a percentage that shows the profitability of your investment. It’s calculated by dividing the total gains (investment returns) by the invested amount and multiplying by 100.
- Annual Growth Rate: The annual growth rate is also a percentage and shows the average annual increase in the value of your investment. It’s calculated based on the ROI and the investment period, so you can see how your investment is performing over time.
These terms are essential for understanding and interpreting the results generated by the ROI calculator Online, allowing you to make informed decisions about your investments and financial planning.
Working on ROI Formula Tool
The ROI Formula Tool operates on a fundamental financial formula: ROI = (Net Profit / Invested Amount) x 100. This formula assesses the efficiency and profitability of an investment by comparing the net profit (investment returns minus the invested amount) to the initial capital.
For instance, suppose you invested AED 20,000, and after a 3-year investment period, your returns totalled AED 28,000. Here’s how you calculate the ROI:
ROI = (28,000 – 20,000) / 20,000
ROI = 8,000 / 20,000 x 100
ROI = 0.4 x 100
As a percentage, the ROI would be 40%, signifying a 40% return on your investment over the specified period.
The result is then multiplied by 100 to express it as a percentage. This straightforward calculation offers a clear picture of how well an investment has performed. It’s important to note that a positive ROI indicates a profitable investment, while a negative ROI suggests a loss. Understanding the inner workings of this formula is the key to unlocking the insights provided by the ROI calculator.h.
