What Does ROI Measure

question 34

Multiple Choice

What does ROI measure?

• A)The amount of profit generated out of each sales dollar
• B)The amount of sales generated out of each dollar of assets invested
• C)The amount of profit generated out of each dollar of assets invested
• D)The amount of revenue generated out of each sales dollar

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Definitions:

Heteroscedasticity

A characteristic of a set of data where the variance of the error term is not constant across all levels of the independent variables, which can affect statistical analyses.

Regression Line

A line of best fit through a set of data points in statistical modeling, showing the relationship between the independent and dependent variables.

Dependent Variable

The variable in an experiment or study that is expected to change in response to changes in the independent variable.

Regression Model

A statistical technique used to predict the value of a dependent variable based on one or more independent variables.