Which of the Following Will Not Result in an Increase

question 105

Multiple Choice

Which of the following will not result in an increase in return on investment (ROI) , assuming other factors remain the same?

• A) A reduction in expenses.
• B) An increase in net operating income.
• C) An increase in operating assets.
• D) An increase in sales.

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Definitions:

Annuity

A financial product that pays out a fixed stream of payments to an individual, typically used as an income stream for retirees.

Discount Rate

The discount rate utilized in DCF analysis for assessing the present worth of upcoming cash flows.

Rate of Return

The gain or loss on an investment over a specified period, expressed as a percentage of the investment's initial cost.

Investment

Assets or items acquired with the goal of generating income or appreciation in the future.