The Return on Investment Can Be Defined As

question 15

Multiple Choice

The return on investment can be defined as:

• A) capital invested divided by total sales.
• B) total sales divided by capital invested.
• C) profit divided by capital invested.
• D) profit divided by total sales.

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Definitions:

Units

A measure of quantity, whether referring to the products manufactured, services provided, or another quantifiable resource.

Fixed Costs

Fixed costs are expenses that do not change with the level of production or sales, such as rent, salaries, and insurance.

Total Dollar Amount

The complete sum of all monetary figures in question, without considering the breakdown of components that constitute this total.

Activity Changes

Refers to alterations in the volume or pace of operations or transactions within a business over a period.