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Management · Q206

Management Accounting

Graduate and Post Graduate · Management · question 206

Q206

Formula to calculate return on investment, according to profitability analysis in DuPont method is

A.
return on sales * investment turnover
Answer
B.
return on sales + investment turnover
C.
return on sales - investment turnover
D.
investment turnover + residual income

Answer: Option A

Solution

Answer: Option A
Solution:
Formula to calculate return on investment, according to profitability analysis in DuPont method is return on sales * investment turnover.