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:

Bretton Woods

Refers to the international monetary system established in 1944, which set up fixed exchange rates and established the International Monetary Fund (IMF) and the World Bank.

Monetary System

The set of mechanisms and institutions that a country uses to manage its money supply, including the minting of coins, printing of banknotes, and regulation of credit.

Exchange Rates

The value of one currency for the purpose of conversion to another, indicating how much of one currency can be exchanged for another currency.

Foreign Currencies

Currencies used in countries other than one's own, involved in international trading and financial transactions.