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Which of the Following Calculations Will Yield Return on Investment

question 51

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Which of the following calculations will yield return on investment (ROI) ?


Definitions:

Average Payment Period

The average amount of time it takes a company to pay off its accounts payable.

Current Ratio

A company’s current assets divided by its current liabilities.

Long-Term Mortgage

A type of loan secured by real property that has an extended repayment period, typically ranging from 15 to 30 years.

Common-Size Financial Statement

A financial statement that expresses each line item as a percentage of a base figure, facilitating comparative analysis.

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