A Manager Can Always Increase His/her Return on Investment (ROI)by

question 29

Multiple Choice

A manager can always increase his/her return on investment (ROI) by:

• A) reducing the asset turnover.
• B) decreasing residual income.
• C) increasing the operating profit margin.
• D) expanding operating assets while holding sales and expenses constant.

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Definitions:

Limited Liability

A legal structure where a company's owners are protected from personal responsibility for the company’s debts or liabilities, beyond the amount of their investment in the company.

Voluntary Contract

An agreement entered into freely by two or more parties, where each party has the ability to accept or reject the terms of the agreement.

Competent Persons

Individuals who have the necessary ability, knowledge, or qualifications to perform a specific task or duty effectively.

Proportionately Shared

Equitably distributed or allocated among participants according to their respective shares, responsibilities, or contributions.