If a training program costs $2,000 per employee and the benefit of the program is $5,000 per employee, then the ROI is 1.50, or 150 percent.

Question

Quizplus · Accepted Answer

ROI (return on investment) is calculated by dividing the benefit (in this case, $5,000) by the cost (in this case, $2,000) and multiplying by 100 to get a percentage.

ROI = (Benefit / Cost) x 100
ROI = ($5,000 / $2,000) x 100
ROI = 2.5 x 100
ROI = 250%

Therefore, the statement is false. The ROI is actually 250 percent.

If a Training Program Costs $2,000 Per Employee and the Benefit