Residual Income

question 96

Multiple Choice

Residual income:

• A) is an alternative to ROI for manager performance evaluation..
• B) is the amount of income earned in excess of a predetermined minimum level of return on assets.
• C) is equal to ROI - (Average operating assets ´ Minimum required rate of return)
• D) both A and B.

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Definitions:

Nirvana

In Buddhism, it refers to an exalted condition where there is an absence of pain, craving, or self-identity, and the individual is liberated from karma's influence and the continual cycle of mortality and rebirth.

Meaning

The significance, definition, or explanation of a word, concept, or symbol, often related to how it is understood in context.

Tantalus

A figure in Greek mythology who was punished in the afterlife by being made to stand in water that receded when he tried to drink and under a tree whose fruit always eluded his grasp.

Mythological

Pertaining to myths or the study of myths; relating to, based on, or appearing in myths.