Rate of Return Calculator (Multiple Years)
This calculator helps you determine the overall rate of return on an investment over multiple years. Understanding your investment's performance is crucial for making informed financial decisions. The rate of return (RoR) measures the gain or loss on an investment over a specific period, expressed as a percentage of the initial investment's cost.
function calculateRateOfReturn() {
var initialInvestment = parseFloat(document.getElementById("initialInvestment").value);
var finalValue = document.getElementById("finalValue").value;
var numberOfYears = document.getElementById("numberOfYears").value;
var resultDiv = document.getElementById("result");
resultDiv.innerHTML = ""; // Clear previous results
if (isNaN(initialInvestment) || initialInvestment <= 0) {
resultDiv.innerHTML = "Please enter a valid positive initial investment amount.";
return;
}
if (isNaN(finalValue) || finalValue < 0) {
resultDiv.innerHTML = "Please enter a valid non-negative final investment value.";
return;
}
if (isNaN(numberOfYears) || numberOfYears <= 0) {
resultDiv.innerHTML = "Please enter a valid positive number of years.";
return;
}
var totalGain = finalValue – initialInvestment;
var totalReturnPercentage = (totalGain / initialInvestment) * 100;
var annualReturnPercentage = totalReturnPercentage / numberOfYears;
resultDiv.innerHTML =
"
Calculation Results:
" +
"Total Gain: " + totalGain.toFixed(2) + "" +
"Total Rate of Return: " + totalReturnPercentage.toFixed(2) + "%" +
"Average Annual Rate of Return: " + annualReturnPercentage.toFixed(2) + "%";
}
.calculator-wrapper {
font-family: sans-serif;
max-width: 600px;
margin: 20px auto;
padding: 20px;
border: 1px solid #ddd;
border-radius: 8px;
box-shadow: 0 2px 5px rgba(0,0,0,0.1);
}
.calculator-wrapper h2 {
text-align: center;
margin-bottom: 20px;
color: #333;
}
.calculator-inputs {
display: flex;
flex-direction: column;
gap: 15px;
}
.input-row {
display: flex;
align-items: center;
gap: 10px;
}
.input-row label {
flex: 1;
font-weight: bold;
color: #555;
}
.input-row input {
flex: 2;
padding: 10px;
border: 1px solid #ccc;
border-radius: 4px;
font-size: 1em;
}
.calculator-wrapper button {
padding: 12px 20px;
background-color: #007bff;
color: white;
border: none;
border-radius: 4px;
font-size: 1.1em;
cursor: pointer;
transition: background-color 0.3s ease;
margin-top: 10px;
}
.calculator-wrapper button:hover {
background-color: #0056b3;
}
.calculator-result {
margin-top: 25px;
padding: 15px;
background-color: #e9ecef;
border: 1px solid #ced4da;
border-radius: 4px;
}
.calculator-result h3 {
margin-top: 0;
color: #444;
}
.calculator-result p {
margin-bottom: 8px;
color: #333;
}