Return on Investment (ROI) Is the Most Widely Used Measure

question 12

Multiple Choice

Return on investment (ROI) is the most widely used measure of performance in what responsibility center?

• A) revenue center
• B) expense center
• C) investment center
• D) profit center
• E) standard cost center

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Definitions:

Total Revenues

The total amount of income generated by the sale of goods or services related to the company's primary operations.

Least Elastic Supply

A situation in the market where the supply of a product or service is least responsive to changes in price.

Midpoint Method

A technique used in economics to calculate the elasticity of demand or supply by averaging the start and end points of a range.

Drug Interdiction

The policy or practice of preventing the importation, trafficking, and use of illegal drugs by enforcement or military means.