The Mean Can Be Calculated and Used on All EXCEPT

question 1

Multiple Choice

The mean can be calculated and used on all EXCEPT which of the following levels of measurement?

• A) Interval-ratio
• B) Nominal
• C) Ordinal
• D) The mean is valid for all of these choices.

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Definitions:

Return On Investment

A performance measure used to evaluate the efficiency or profitability of an investment or compare the efficiency of a number of different investments.

Residual Income

The amount of income that exceeds the minimum target return, often used in performance measurement and managerial compensation.

Return On Investment

A performance measure used to evaluate the efficiency or profitability of an investment, calculated by dividing net profit by the cost of the investment.

Operating Asset

Assets utilized in the daily operations of a business to generate revenue, including both current and long-term assets.