Aiden's Operating Income Was $100,000 and Its ROI Was 20

question 72

Multiple Choice

Aiden's operating income was $100,000 and its ROI was 20%. What are Aiden's average operating assets?

• A) $20,000
• B) $200,000
• C) $500,000
• D) None of the above

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Definitions:

Defined Contribution Pension Plan

A retirement savings plan where an employer, employee, or both make contributions on a regular basis, with future benefits fluctuating based on investment performance.

Pension Expense

The cost incurred by an employer in a given period to fund or fulfill its commitment for employee pensions.

Pension Expense

The total cost to a company for the retirement benefits earned by employees in a given period.

Deferred Compensation

A portion of an employee's income that is deferred to a later date, typically to take advantage of lower tax rates or to fund retirement plans.