Home Decor Inc

question 59

Multiple Choice

Home Decor Inc., manufactures home cleaning products. The company has two divisions, Bleach and Cleanser. Because of different accounting methods and inflation rates, the company is considering multiple evaluation measures. The following information is provided for 2018:
ASSETSINCOME

The company is currently using a 15% required rate of return.
What are Bleach's and Cleanser's return on investment based on book values, respectively?

• A) 29%; 40 %
• B) 58%; 36 %
• C) 36%; 58%
• D) 40%; 29%

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Definitions:

Emotional Defusing

The process of reducing the intensity or negative impact of emotions, often through psychological techniques or coping strategies.

Self-Knowledge

The understanding and insight an individual has regarding their own character, feelings, motives, and desires.

Interpersonal Learning

The process of learning through interaction with others, gaining insight into oneself and others' behaviors and mental states.

Neo-Freudian Psychoanalysis

A direction in psychoanalytic theory and therapy that includes the works of psychologists who were influenced by Freud's theories but extended or diverged from his original ideas, often emphasizing social and cultural factors.