Should Operating Income or Net Income Be Used as the Numerator

question 37

Essay

Should operating income or net income be used as the numerator to calculate ROI?

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Definitions:

Authorized Users

Individuals who are officially permitted to access specific systems, data, or information.

Sub-accounts

These are divisions or extensions of primary accounts used to separate and categorize financial data for detailed tracking and reporting.

Decision Making

The method of selecting options through pinpointing a decision, accumulating data, and evaluating different solutions.

Category Type

A classification that groups items or transactions with similar characteristics for organizational or reporting purposes.