Q24
Return on Investment Ratio (ROI) =
A.
(Gross profit / Net sales) x 100
B.
(Gross profit x Sales / Fixed assets) x 100
C.
(Net profit / Sales) x 100
D.
(Net profit / Total assets) x 100
AnswerAnswer: Option D
Solution
Answer: Option D
Solution:
Return on Investment Ratio (ROI) = (Net profit / Total assets) x 100. 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.