How does one calculate the ROI of a Software project? Also, any difference between Long term and Short term projects?

Asked by Last Modified  

Follow 1
Answer

Please enter your answer

Mathematics Teacher

i can say only maths and state
Comments

Freelancer & Educator, Language , Vedic Maths, Humanities

yes, i can help you if some students come across
Comments

Professional Coaching- Commerce Subjects & English

ROI is return on investment, or the capital employed. In a very practical sense, the ROI is nothing but the Rate of Normal return that can be attributed to the industry, multiplied by the capital invested. If the % ROI is not know, or given, you may take the normal returns prevailing in the same industry....
read more
ROI is return on investment, or the capital employed. In a very practical sense, the ROI is nothing but the Rate of Normal return that can be attributed to the industry, multiplied by the capital invested. If the % ROI is not know, or given, you may take the normal returns prevailing in the same industry. Mathematically, it can be denoted by the formula ROI = ROI % X Capital Employed Simply speaking, it is what you get back from a project, had you invested some of your money into that. Long Term Projects Vs Short term Projects- These are differences between projects based on the time period involved. Projects having very less time say upto 12 months can be considered to be short term projects. Such initiatives may be taken to solve a specific issue, and involve lesser funds. These may be in the nature of internal projects to solve internal problems.The formalities and regulations associated with these my also be lesser. these projects may even take off for such limited periods such as 1 week, or few hours. Long term projects, on the other hand involve huge amounts of resources, and larger gestation periods, 12 months are more. The formalities and legal costs involved, will of course be much higher. Rather than addressing a specific issue, it definitely seeks to "earn" a return. Thus, it may be open for external parties as well, both for raising funds and operations. read less
Comments

Experienced Tutor

Rate of Interest should be calculated according to the risk involved with the company managing the software. So it depends on the project. If you are looking to get a loan on Software project better try to get a venture capital. Yes, there is huge difference between Long Term and Short Term Project,...
read more
Rate of Interest should be calculated according to the risk involved with the company managing the software. So it depends on the project. If you are looking to get a loan on Software project better try to get a venture capital. Yes, there is huge difference between Long Term and Short Term Project, the whole difference is of Economic Profits, While in Short term there can be losses / profit whereas in long term it benefits the growth of the company as the project works on economies of scale once launched. read less
Comments

Good Commerce Lecturer

Businesses are in business to make money. But calculating the true value of any project (Lean Six Sigma or otherwise) with respect to its impact on margin has always been challenging, mainly due to the ambiguity of turning notions into dollar values. For instance, it is clear that training employees...
read more
Businesses are in business to make money. But calculating the true value of any project (Lean Six Sigma or otherwise) with respect to its impact on margin has always been challenging, mainly due to the ambiguity of turning notions into dollar values. For instance, it is clear that training employees will improve expertise and productivity, but how does that translate to bottom-line savings or revenue growth? Spending thousands of dollars on automated systems and software is likely to improve work efficiency, but what’s the dollar-value improvement of that efficiency? Return on investment (ROI) is a key calculation in answering these questions, as well as showing the project value and its impact on the margin. read less
Comments

Student

its a long process
Comments

long process
Comments

Rate of Interest should be calculated according to the risk involved with the company managing the software. So it depends on the project. If you are looking to get a loan on Software project better try to get a venture capital. Yes, there is huge difference between Long Term and Short Term Project,...
read more
Rate of Interest should be calculated according to the risk involved with the company managing the software. So it depends on the project. If you are looking to get a loan on Software project better try to get a venture capital. Yes, there is huge difference between Long Term and Short Term Project, the whole difference is of Economic Profits, While in Short term there can be losses / profit whereas in long term it benefits the growth of the company as the project works on economies of scale once launched read less
Comments

View 6 more Answers

Related Questions

How to set milestones to the career path?
Setting milestones in your career path involves defining specific goals to help you track progress. Here's a simple guide: Self-Assessment: Identify your skills, strengths, weaknesses, and interests....
Abhishek Srivastava
0 0
8
How can I speak English fluently & correct English what is the best way to do this?
Read and try to watch good Indian English news channels and observe how and what they speak. Talk in English as much as you can.
Rahib

Now ask question in any of the 1000+ Categories, and get Answers from Tutors and Trainers on UrbanPro.com

Ask a Question

Related Lessons

Protocol: Preparation for Ultra competent cells of E.Coli DH5-alpha
Preparation: Prepare LB media and Transformation Buffer. Transformation Buffer 10 mM Hepes15 mM CaCl2250 mM KCl (pH to 6.7 with KOH)MIX Thoroughly with constant stirring and than add 55 mM MnCl2 and...

Retouching black and white image and converting into color in Photoshop cs6
Here is another tutorial...For Retouching and converting black and white images into color In this tutorial i explain lot of hidden techniques of Photoshop that might be useful for you and the process...
R

Raman Preet Singh

0 0
0

Graphic Design Solution
Hi students, How are you? I am posting a lesson for all those students who are little bit confuse about graphic design software. They are bit confuse about which kind of software they have to learn or...

Learn Table Writing Using This Method
Table Of 23: 2 3 4 6 6 9 8 8+1= 12 10 10+1= 15 12 12+1= 18 14 14+2= 21 16 16+2= 24 18 18+2= 27 20 20+3= 30

Best way to remember your answers!
Usually students have problem remebering long answers. But there are ways to deal with this...No answer is too long to remeber as far as you are Focused. Following tips may definitely help you - 1. Understanding-...

Recommended Articles

During the last days in school, every student waits for their college life. It is, of course, exciting to get admission in your dream college with the course you wanted to pursue. Its your effort and struggle that makes you part of the college that you aimed for. Yet, once the first month passes all students forget their...

Read full article >

Whatever you learn in college is no doubt very important and forms the base for your future professional career. However, lack of hands-on experience, business oriented skills and interpersonal skills, among fresh graduates are making them unfit for employment in competitive business environment. Today organizations operate...

Read full article >

Whether you are doing graduation or post graduation, no college student can escape from the misery of college dissertation. College dissertation is a detailed research project on a topic of your choice, approved by professors. At the beginning of the dissertation you have to set a hypothetical aim and at the end, you have...

Read full article >

Most of the students decide what stream they are going to choose at the school level. Science, commerce and arts are the main fields, and students need to choose any one between these three. Although there are many such professional courses available, most students like to select one of these three streams. In college,...

Read full article >

Looking for BA Tuition ?

Learn from the Best Tutors on UrbanPro

Are you a Tutor or Training Institute?

Join UrbanPro Today to find students near you