The Formula for Calculating ROI Is

question 119

Multiple Choice

The formula for calculating ROI is

• A)segment margin divided by average operating assets.
• B)segment margin divided by the internal rate of return.
• C)the internal rate of return divided by average operating assets.
• D)segment margin divided by assets minus liabilities.

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Definitions:

Sales

The total amount of goods or services sold by a company during a specific time period, generating revenue.

Percent Of Increase

A measure expressed as a percentage that indicates the degree to which a quantity grows relative to its previous value.

Comparative Balance Sheet

A balance sheet listing financial condition for two or more years in a side-by-side manner. This format allows the reader to make quick comparisons between the two balance sheet dates.

Net Increase

The amount by which something grows or rises, after accounting for any decreases.