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Management · Q214

Management Accounting

Graduate and Post Graduate · Management · question 214

Q214

In an accounting measurement, income and investment is divided to calculate

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

Answer: Option D

Solution

Answer: Option D
Solution:
In an accounting measurement, income and investment is divided to calculate return on investment. Return on Investment (ROI) is a performance measure used to evaluate the efficiency of an investment or compare the efficiency of a number of different investments.