1Thi Huong Tram Le, 2Thi Xuan Huong Le
1Accounting Department, University of Labour and Social Affairs, Vietnam
2Insurance Department, University of Labour and Social Affairs, Vietnam
DOI : https://doi.org/10.47191/ijmra/v6-i8-60Google Scholar Download Pdf
ABSTRACT:
The objective of the article is to clarify investment activities, return on investment, return on invested capital, and Return on Investment's effectiveness in measuring the profitability of invested capital. To accomplish the stated research objectives, the authors have used the method of document research to build a research theoretical basis for the article. Next, the methodology and meta-analysis method was used to analyze the secondary data collected from the financial statements of Song Hong garment joint stock company. The results of analysis and data calculation at selected enterprises for empirical research have shown that Return on Investment can be calculated through Return on invested capital. From the results and comparative analysis of Return on invested capital, the Return on Investment indicator will also have a positive sign. This has confirmed the investment performance of Song Hong garment joint stock company and shows the effectiveness of Return on Investment in measuring the profitability of the invested capital. However, the authors also think that Return on Investment or Return on invested capital are also relative and they are not the only decisive indicators. Therefore, to make investment decisions, it is necessary to use many indicators to evaluate.
KEYWORDS:Investment; Measurement; Return on invested capital; Return on Investment; Performance
REFERENCES1) Adam, H. (2023), Investment Basics Explained With Types to Invest. Accessed May 14, 2023 from https://www.investopedia.com/terms/i/investment.asp
2) Farris, Paul W.; Neil T. Bendle; Phillip E. Pfeifer; David J. Reibstein (2010). Marketing Metrics:
The Definitive Guide to Measuring Marketing Performance. Upper Saddle River, New Jersey: Pearson Education, Inc. ISBN 0137058292.
The Marketing Accountability Standards Board (MASB) endorses the definitions, purposes,
and constructs of classes of measures that appear in Marketing Metrics as
part of its ongoing Common Language in Marketing Project.
3) Feibel, BJ (2003). Measure investment performance. John Wiley & Sons.
4) Fernandes, N. (2014). Finance for Executives: A Practical Guide for Managers. NPV Publisher, 2014, p. 36.
5) Gordon, LA, & Iyengar, RJ (1996). Return on investment and corporate capital expenditure: empirical evidence. Journal of Accounting and Public Policy, 15 (4), 305-325.
6) Kevin A. Hassett (2008, 2nd ed.). "Investment," The Concise Encyclopedia of Economics. Library of Economics and Liberty.
7) Luenberger, DG (1998). Investment Science. Oxford University Press. pp. 1–2. ISBN 978-0195108095.
8) Mieilă, M. (2009) Managementul investiţiilor, Bucureşti: Ed. Cartea Studenţească
9) Pearce, J. M. (2016). Return on investment for open source scientific hardware development. Science and Public Policy. 43 (2): 192–195. doi:10.1093/scipol/scv034.
10) Phillips, Jack J., Frank Q. Fu, Patricia Pulliam Phillips, and Hong Yi. (2020). ROI in Marketing: The design thinking approach to measure, prove, and improve the value of marketing. McGraw-Hill Publishing. Page 178.
11) Phillips, JJ (1994). Measuring Return on Investment (Volume 2). American Association for Training and Development.
12) Phillips, PP (2023). The basics of return on investment (ROI). American Association for Training and Development.
VOLUME 06 ISSUE 08 AUGUST 2023
There is an Open Access article, distributed under the term of the Creative Commons Attribution – Non Commercial 4.0 International (CC BY-NC 4.0) (https://creativecommons.org/licenses/by-nc/4.0/), which permits remixing, adapting and building upon the work for non-commercial use, provided the original work is properly cited.
Our Services and Policies
Authors should prepare their manuscripts according to the instructions given in the authors' guidelines. Manuscripts which do not conform to the format and style of the Journal may be returned to the authors for revision or rejected.
The Journal reserves the right to make any further formal changes and language corrections necessary in a manuscript accepted for publication so that it conforms to the formatting requirements of the Journal.
International Journal of Multidisciplinary Research and Analysis will publish 12 monthly online issues per year,IJMRA publishes articles as soon as the final copy-edited version is approved. IJMRA publishes articles and review papers of all subjects area.
Open access is a mechanism by which research outputs are distributed online, Hybrid open access journals, contain a mixture of open access articles and closed access articles.
International Journal of Multidisciplinary Research and Analysis initiate a call for research paper for Volume 07 Issue 05 (May 2024).
PUBLICATION DATES:
1) Last Date of Submission : 26 May 2024 .
2) Article published within a week.
3) Submit Article : editor@ijmra.in or Online
Why with us
1 : IJMRA only accepts original and high quality research and technical papers.
2 : Paper will publish immediately in current issue after registration.
3 : Authors can download their full papers at any time with digital certificate.
The Editors reserve the right to reject papers without sending them out for review.
Authors should prepare their manuscripts according to the instructions given in the authors' guidelines. Manuscripts which do not conform to the format and style of the Journal may be returned to the authors for revision or rejected. The Journal reserves the right to make any further formal changes and language corrections necessary in a manuscript accepted for publication so that it conforms to the formatting requirements of the Journal.