Reverse ROI Calculator

Formula

The formula to calculate the Reverse ROI is:

\[ IV = \frac{CV}{1 + \frac{RR}{100}} \]

Where:

$IV$ is the initial value ($)
$CV$ is the current investment value ($)
$RR$ is the return rate (%)

What is Reverse ROI?

Reverse ROI is a measure used to determine the initial value of an investment based on its current value and the return rate. It helps in understanding how much was originally invested to achieve the current value, considering the return rate over time.

Example Calculation

Let's assume the following values:

Current Investment Value (CV) = $1200
Return Rate (RR) = 20%

Using the formula:

\[ IV = \frac{1200}{1 + \frac{20}{100}} = 1000 \text{ dollars} \]

The Initial Value (IV) is $1000.