HOMER Knowledge Base
Calculating ROI
How do you calculate the ROI?
There are numerous possible definitions, but the one we chose is ROI = TotalReturn / (TotalInvestment * ProjectLifetime). The total investment is the year zero cash flow.
How do you calculate the ROI?
There are numerous possible definitions, but the one we chose is ROI = TotalReturn / (TotalInvestment * ProjectLifetime). The total investment is the year zero cash flow.