Question

As a method to quantify a solution in a selling situation, salespeople estimate the net profits, or savings,expected from a glen investment, and express them as a percentage of the investment. This expression is known as the

A) Return on Investment (ROI)
B) Cost-Benefit Analysis (CBA)
C) Profit Margin Percentage (PMP)
D) Investment Return Estimation (IRE)

Answer 1

The expression used to quantify a solution in a selling situation is Return on Investment (ROI). ROI measures the profitability of an investment by comparing the net profits or savings expected from the investment to the initial cost of the investment. It is expressed as a percentage.

Step-by-step explanation:

The expression used to quantify a solution in a selling situation is called Return on Investment (ROI). ROI is a financial indicator that measures the profitability of an investment by comparing the net profits or savings expected from the investment to the initial cost of the investment. It is expressed as a percentage of the investment.

For example, if a salesperson estimates that a certain investment will generate $10,000 in net profits and the investment cost is $50,000, the ROI would be:

ROI = (Net Profits / Investment Cost) * 100 = ($10,000 / $50,000) * 100 = 20%