Setting a Price to Achieve an Annual Target Return-On-Investment (ROI)

question 73

Multiple Choice

Setting a price to achieve an annual target return-on-investment (ROI) is referred to as

• A) target return-on-investment pricing.
• B) target return-on-profit pricing.
• C) target return-on-sales pricing.
• D) target profit pricing.
• E) customary pricing.

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Definitions:

Allison

Allison is known for creating automatic transmissions for commercial vehicles, offering products that enhance vehicle performance and control.

Planetary Gearset

A system of gears consisting of a central 'sun' gear, several 'planet' gears, and a 'ring' gear, used to provide various gear ratios in transmissions.

Carrier

In automotive contexts, a component that holds the differential gear assembly in vehicles, allowing the transmission of power to the drive axles.

Input Member

A component in a mechanical system that receives power from an external source and transmits it to other parts of the system.