Using Beginning Balances for the Investment Base in Computing Return

question 101

Multiple Choice

Using beginning balances for the investment base in computing return on investment (ROI) might encourage managers to acquire assets:

• A) early in the year and dispose of assets late in the year.
• B) early in the year and dispose of assets early in the year.
• C) late in the year and dispose of assets late in the year.
• D) late in the year and dispose of assets early in the year.

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Definitions:

Roles

Are clusters of expectations about thoughts, feelings, and actions appropriate for occupants of a particular status.

Kinship Category

The classification used in anthropology and sociology to define social relationships based on blood relations, marriage, or adoption.

Primary Group

A small social group characterized by close, personal, and enduring relationships, often providing a sense of belonging and emotional support.

Adopted

A term referring to someone who has been legally taken into another's family and raised as their own child.