Explanation:
Return On Investment (ROI) is a performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of different investments. To calculate ROI, the benefit (return) of an investment is divided by the cost of the investment; the result is expressed as a percentage or a ratio.
The return on investment formula: ROI = (Gain from investment – Cost of investment) / Cost of investment
In the above formula “gains from investment”, refers to the proceeds obtained from selling the investment of interest.
Incorrect Answers: A, B: These options are not related to the measurement of efficiency of an investment.
D: RAID is described as a redundant array of inexpensive disks. It is a technology that allows computer users to achieve high levels of storage reliability from low-cost and less reliable PC-class disk-drive components, via the technique of arranging the devices into arrays for redundancy.