Trying to figure out how to calculate the ROI for implementing an HR representative at a...
Trying to figure out how to calculate the ROI for implementing an HR representative at a stores location. What equation should be followed?
Ex:
There are 759 stores
Want 2 HR representatives per store
Salary for each would be $62,000
What is the ROI? (in percentage form)
Homework Answers
Formula for ROI (Return on investment) which should be followed :-
ROI = [Net Income (also called Final Return) / Initial Investment] *100
In the example given :-
Total HR Representatives for all stores = 759*2 =1518
Total salary expense would be = 1518 * $62000 = $94,116,000
Therefore, Initial Investment would be = $94,116,000
Final return would be the monetary value of the benefits we are deriving out of this investment.
With the help of given formula you would be able to derive ROI.
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