CAS-003 · Question #83
A security administrator wants to calculate the ROI of a security design which includes the purchase of new equipment. The equipment costs $50,000 and it will take 50 hours to install and configure…
The correct answer is D. 82 percent. Return on investment = Net profit / Investment where:Net profit = gross profit ?expenses investment = stock + market outstanding[when defined as?] + claims
Question
A security administrator wants to calculate the ROI of a security design which includes the purchase of new equipment. The equipment costs $50,000 and it will take 50 hours to install and configure the equipment. The administrator plans to hire a contractor at a rate of $100/hour to do the installation. Given that the new design and equipment will allow the company to increase revenue and make an additional $100,000 on the first year, which of the following is the ROI expressed as a percentage for the first year?
Options
- A-45 percent
- B5.5 percent
- C45 percent
- D82 percent
How the community answered
(35 responses)- A6% (2)
- B6% (2)
- C17% (6)
- D71% (25)
Explanation
Return on investment = Net profit / Investment where:Net profit = gross profit ?expenses investment = stock + market outstanding[when defined as?] + claims
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