The Income Calculation for a Division Manager's ROI Should Be

question 3

True/False

The income calculation for a division manager's ROI should be based on profit margin traceable to the division.

---

Definitions:

Floating Rate System

A currency exchange regime where a country's currency value is allowed to fluctuate in response to foreign exchange market mechanisms.

Government Intervention

Refers to regulatory actions taken by a government to affect its economy, which can include policies and laws to correct market inefficiencies and promote social welfare.

Current Account

A component of a country's balance of payments that measures the balance of trade in goods and services plus net earnings from abroad and net transfer payments over a period of time.

Net Unilateral Transfers

Financial flows from one country to another that are not reciprocated, typically covering aid, grants, and remittances.