Investment Centers Need KPIs to Evaluate How Efficiently the Business

question 98

Multiple Choice

Investment centers need KPIs to evaluate how efficiently the business unit uses assets. Typical KPIs of this type would include all of the following EXCEPT:

• A) ROI (Return on investment).
• B) EVA (Economic value added).
• C) NOI (Net operating income).
• D) RI (Residual Income).

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Definitions:

Vacancy Rate

The percentage of all available units in a housing development or commercial property that are unoccupied or not rented at a given time.

Marginal Cost

Represents the cost incurred by producing one additional unit of a product or service.

"Staying" Power

The ability of an individual or entity to endure an adverse condition or situation for a long period without succumbing.

Frozen Meal

A pre-cooked and packaged meal that is preserved through freezing and can be reheated for consumption.