Date: November 30, 2001
ROI
The Return On Investment (ROI) report is a smaller version of the Product History report. ROI for each product can be determined. Detailed booking information will show the bookings the selected product is on.
ROI is calculated from a ratio of the average cost for the product multipied by quantity owned. This product is multiplied by total revenue generated by that product.
Gross ROI = 100/(average cost price x quantity owned) x (revenue generated during time period selected)
Formula for Net ROI is: Net ROI = 100/(average cost price x quantity owned) x (revenue generated during time period selected – sub rent charges incurred for product – maintenance costs incurred for product.)
Operational parameter #64 controls how products have totals calculated. If the asset register is enabled, then RentalPoint will take the average cost of the assets for that product. If the product master is enabled then it will take the cost price entered against the product and ignore the prices on the per asset level.
Example report output.