The Rate of Return on Investment May Be Computed by Dividing

question 109

True/False

The rate of return on investment may be computed by dividing investment turnover by the profit margin.

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Definitions:

Catch-Up Effect

The property whereby countries that start off poor tend to grow more rapidly than countries that start off rich

Economic Growth Rates

The percentage increase in the market value of the goods and services produced by an economy over time, typically measured on an annual basis.

Saving Rate

The proportion of disposable income that is saved rather than spent on consumption of goods and services.

Growth Rate

The growth rate measures the rate of increase in the size or value of something over a specific period, often used in the context of economic growth.