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NEW QUESTION: 1
A security administrator wants to calculate the ROI of a security design which includes the purchase of new equipment. The equipment costs $50,000 and it will take 50 hours to install and configure the equipment. The administrator plans to hire a contractor at a rate of $100/hour to do the installation.
Given that the new design and equipment will allow the company to increase revenue and make an additional $100,000 on the first year, which of the following is the ROI expressed as a percentage for the first year?
A. 45 percent
B. 82 percent
C. 5.5 percent
D. -45 percent
Return on investment= Net profit/ Investment where: Net profit= gross profit - expenses investment= stock+ market outstanding[when defined as?]+ claims or
Return on investment= (gain from investment - cost of investment)/ cost of investment
Thus (100 000 - 55 000)/50 000 = 0,82 = 82 %
Gregg, Michael, and Billy Haines, CASP CompTIA Advanced Security Practitioner Study Guide, John
Wiley & Sons, Indianapolis, 2012, p. 337