Gains and losses on investments are also known as
Net gains
Return on investment
Net investments
Investment reward
Capital gains and capital losses.
Which Answer
The answer is: Capital gains and capital losses.
Gains and losses on investments are typically referred to as "Net gains" or "Return on investment." Let me explain how to calculate these.
To determine net gains or losses, you need to consider the difference between the selling price and the initial cost of the investment. Suppose you purchased a stock for $1,000 and later sold it for $1,200. In this case, the net gain would be $200 ($1,200 - $1,000).
On the other hand, if you sold the same stock for $900, the net loss would be $100 ($900 - $1,000). Net gains or losses help evaluate the profitability of an investment.
Return on investment (ROI) is another term used to describe gains or losses on investments. ROI measures the profitability of an investment relative to its cost. It is expressed as a percentage.
To calculate ROI, use the following formula:
ROI = (Net Gain or Loss / Initial Investment) * 100
For example, if you made a net gain of $200 on an initial investment of $1,000, the ROI would be 20% (($200 / $1,000) * 100). If there was a net loss of $100, the ROI would be -10%.
Although "Net investments" and "Investment reward" are not commonly used terms to refer to gains and losses, they can still convey a similar idea. Net investments could imply the total amount of money invested after deducting any fees or expenses, while investment reward might signify the potential returns or benefits gained from investing.