Indicate Whether Each Item Listed Below Is Most Closely Associated

question 9

Short Answer

Indicate whether each item listed below is most closely associated with: (A)return on investment, (B)residual income, or (C)economic value added. Each numbered item has only one correct answer.
____ 1. Adjustments incorporated in calculations are a matter of management judgment
____ 2. Components motivate managers to increase sales
____ 3. Discourages managers from investing in projects that may harm divisional results but may enhance overall organizational results
____ 4. Does not incorporate measurements of risk
____ 5. Does not penalize project investments with lower returns than current returns
____ 6. Easily compared with external benchmarks
____ 7. Incorporates weighted average cost of capital
____ 8. Larger subunits are more likely to report better results
____ 9. Measures the dollar amount of profits given a required rate of return
____ 10. Research and development costs are often capitalized in its calculation

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Definitions:

Body Composition

The ratio of body fat to lean body mass, including muscles, bones, and organs, which is a key indicator of health and fitness levels.

Body Composition

The ratio of different types of body tissues, including muscle, fat, bone, and water, which is used to assess health and fitness levels.

Relative Proportions

Ratios or relationships in size, quantity, or degree between elements or components.

Essential Fat

The minimum amount of body fat necessary for the maintenance of health and bodily functions, differing by gender.