Examlex
Which of the following statements is true?
Return on Investment
A measure of the profitability and efficiency of an investment, calculated as the return (or gain) from an investment relative to its cost.
Markup
An amount added to the cost price of goods to cover overhead and profit.
Absorption Costing
An accounting method that includes all direct costs and an allocated portion of fixed and variable overhead costs in the cost of a product.
Cost-plus Pricing
Setting the price of a product by adding a markup to its variable costs to ensure a margin of profit.
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