Enter the total income ($) and the total investment ($) into the Return on Income Calculator. The calculator will evaluate and display the Return on Income.
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Return on Income Formula
The following formula is used to calculate the Return on Income.
ROINCOME = TI / TINV * 100
- Where ROINCOME is the Return on Income (%)
- TI is the total income ($)
- TINV is the total investment ($)
How to Calculate Return on Income?
The following example problems outline how to calculate Return on Income.
Example Problem #1:
- First, determine the total income ($).
- The total income ($) is given as: 4,000.
- Next, determine the total investment ($).
- The total investment ($) is provided as: 10,000.
- Finally, calculate the Return on Income using the equation above:
ROINCOME = TI / TINV * 100
The values given above are inserted into the equation below and the solution is calculated:
ROINCOME = 4,000 / 10,000 * 100 = 40.00 (%)
Example Problem #2:
For this problem, the variables needed are provided below:
total income ($) = 5,700
total investment ($) = 15,000
This example problem is a test of your knowledge on the subject. Use the calculator above to check your answer.
ROINCOME = TI / TINV * 100 = ?
