Asked by
hazel faith dorohum
on Nov 12, 2024
Verified
The formula for the return on investment is
A) Invested Assets/Income from Operations
B) Sales/Invested Assets
C) Income from Operations/Sales
D) Income from Operations/Invested Assets
Return On Investment
A financial metric used to evaluate the efficiency of an investment or compare the efficiency of several investments, calculating the return relative to the investment's cost.
Income From Operations
Revenue generated from a company's regular business activities, excluding revenue from non-operating sources.
Invested Assets
Assets that have been allocated or invested in various forms such as stocks, bonds, or real estate, aiming for a financial return.
- Grasp the essence of return on investment and the techniques used for its calculation.
- Apply financial ratios and equations to analyze operational performance in businesses.
Verified Answer
AS
Learning Objectives
- Grasp the essence of return on investment and the techniques used for its calculation.
- Apply financial ratios and equations to analyze operational performance in businesses.