Question
A) If you buy a gold coin for $200 and sell it for $300, what is your ROI? B) What is the ROI of each
A) If you buy a gold coin for $200 and sell it for $300, what is your ROI?
B) What is the ROI of each of these investments? Which one should you make?
1. You can rent a machine for $1200/mo that will give you $1400 more in sales per month.
2. You can hire a new employee for $900/mo that will add $1100 more per month to sales.
3. You can invest $600/month in securities that will pay $700 per month
C) From the above Exercise #2, if there is a 10% chance that the employee will only make $900, what is the ROI? (Figure that if you did this 10 times, nine time the employee would sell $1100 and would sell $900 once. Divide by the total amount you invested.)
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