Which of the Following Is an Appropriate Computation for Return

question 69

Multiple Choice

Which of the following is an appropriate computation for return on investment?

• A) Net income divided by total assets
• B) Net income divided by sales
• C) Sales divided by total assets
• D) Sales divided by stockholders' equity

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Definitions:

Expansion

A phase of the economic cycle where an economy experiences growth, characterized by increased output, employment, and spending.

Mercantilism Policy

An economic theory or practice characterized by government regulation of the economy for maximizing state power at the expense of rival national powers, focusing on trade balances and the accumulation of wealth.

Trade Restrictions

Measures imposed by governments to regulate or limit the trade of goods and services across borders.

Economic Vitality

Economic Vitality describes the strength and robustness of an economy, often measured by the level of business activity, employment rates, and gross domestic product growth.