The Average Accounting Rate of Return Is Determined By

question 34

Multiple Choice

The average accounting rate of return is determined by:

• A) dividing the yearly cashflows by the investment.
• B) dividing the average cashflows by the investment.
• C) dividing the average net income by the average investment.
• D) dividing the average net income by the initial investment.
• E) dividing the net income by the cashflow.

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Definitions:

Adding Value

The process of enhancing a product or service's worth by improving its features, usability, or other characteristics important to the consumer.

Global Operations

The activities involved in producing and delivering goods or services across multiple countries and territories.

Supply Chain

A network of businesses involved in the production, delivery, and sale of a product, from the initial raw materials to the final consumer.

Product Life Cycle

The phases a product experiences from its launch, to its growth, peak, and eventual decrease in the marketplace.