Aaron Corp's Net Income Is $25,000

question 140

Multiple Choice

Aaron Corp's net income is $25,000.What is the amount of the investment if the return on investment is 20%?

• A) $50,000
• B) $100,000
• C) $125,000
• D) $250,000

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Definitions:

BCG Matrix

A strategic business tool developed by the Boston Consulting Group to help organizations analyze and decide on the management of their product portfolio based on market growth and market share.

High Market Share

A significant portion of total sales within a particular market or industry, controlled by one company.

Elastic Demand

Refers to a situation where the quantity demanded of a good or service significantly changes in response to a change in its price. High elasticity indicates that consumers are more sensitive to price changes.

Demand Curve

A graph showing the relationship between the price of a good and the quantity of that good that consumers are willing to purchase.