The Top Management at Amore Corp, a Manufacturer of Computer

question 37

Multiple Choice

The top management at Amore Corp, a manufacturer of computer games, is attempting to recover from a flood that destroyed some of their accounting records. The main computer system was also severely damaged. The following information was salvaged:

What is the Gamma Division's return on investment (d) ?

• A) 5.71
• B) 2.15
• C) 0.46
• D) 0.08

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Definitions:

Capital

Financial assets or resources owned by an individual or organization, particularly those used to generate income or investment.

Adjusting Journal Entries

Journal entries that are needed in order to update specific ledger accounts to reflect correct balances at the end of an accounting period.

Worksheet

A tool used in accounting to consolidate all of the financial information and to prepare adjusting entries and financial statements.

Account Balances

The amount of money in an account at a specific point in time, reflecting the difference between debits and credits.