Enter the total leverage amount ($), the total return on investment (%), and the total down payment ($) into the calculator to determine the Leverage Profit.

## Leverage Profit Formula

The following formula is used to calculate the Leverage Profit.

LP = LA * ROI/100 - DP
• Where LP is the Leverage Profit ($) • LA is the total leverage amount ($)
• ROI is the total return on investment (%)
• DP is the total down payment ($) To calculate the leverage profit, multiply the leverage amount by the ROI, then subtract the down payment. ## How to Calculate Leverage Profit? The following example problems outline how to calculate Leverage Profit. Example Problem #1 1. First, determine the total leverage amount ($). In this example, the total leverage amount ($) is given as 10000 . 2. Next, determine the total return on investment (%). For this problem, the total return on investment (%) is given as 10 . 3. Next, determine the total down payment ($). In this case, the total down payment ($) is found to be 500. 4. Finally, calculate the Leverage Profit using the formula above: LP = LA * ROI/100 – DP Inserting the values from above yields: LP = 10000 * 10/100 -500 = 500 ($)

Example Problem #2

The variables needed for this problem are provided below:

total leverage amount ($) = 60000 total return on investment (%) = 15 total down payment ($) = 5000

Entering these values and solving gives:

LP = 60000*15/100-5000= 4000 (\$)