ROI formula

Q: xplain the impact of risk, uncertainty, and changing variables on cost-volume-profit analysis.

A: Cost-volume-profit analysis is one of the decision accounting analytical approaches that aid in…

Q: Cost-Savings Sharing Pricing Defined?

A: It is a project pricing technique where the savings in the cost of the project are mutually shared…

Q: Calculate the turning point of economic efficiency!

A: Efficiency is calculated when output is divided by input and multiplied by 100. Input = revenue = 18…

Q: Profit

A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: net sales

A: We know that  Net Sales = Sales revenue - Sales returns - Sales Allowances and Discounts

Q: Explain return on invested capital (ROIC)

A: Return on invested capital is the return expressed in the form of percentage which a company or an…

Q: Explain the differences and similarities between Return on Investment (ROI) and Residual Income (RI)

A: Return on investment (ROI): This financial ratio evaluates how efficiently the assets are used in…

Q: What formula do you use to calculate ROI?

A:

Q: alculate ROI for each case

A: ROI or Return on investment is net gain or profit generated on amount invested.

Q: Cost behavior Costs Value Chain O Cost drivers

A: Answer: Cost behavior is defined as the changing nature of cost dependent on any units. Costs are of…

Q: Explain the goal of yield management

A: Yield management is a kind of pricing strategy.It is based on the understanding of the behavior of…

Q: What does ROI measure?

A: Return on Investment: Return on Investment is a profitability measure which determines a company's…

Q: = new profit sharing ratio

A: When a new partner is admitted the old partners need to sacrifice some amount their profit share to…

Q: What is the incentive of management in computing efficiency ratios?

A: Efficiency ratios examine a company's ability to use its assets and handle its commitments…

Q: What is the divisional ROI to the nearest % point? (1 d.p.)

A: Return on investment (ROI) refers to net benefit (or return) a business or a division is able to…

Q: What is Market Value Added (MVA)?

A: The market value added is the difference of the current value of the company and the equity capital…

Q: Internal rate of return

A: Internal rate of return- It is the rate of discount at which the sum of discounted cash inflows…

Q: Define strong form of market efficiency

A: Strong form of market efficiency is considered to be the strongest form of efficient market…

Q: What are the important points to remember in preparing the breakeven point graph? The…

A: Break-even point is the point at which company neither earns profits nor incurs loss. Break-even…

Q: commercial market trade industries market segmentation inelastic demand

A: Market is a place where parties gather to exchange goods and services. Parties involved are known as…

Q: operating leverage factor

A: Operating leverage meaures the change in operating income with respect to change in revenue  Formula…

Q: Define efficiency ratios

A: Efficiency Ratios : These ratios are employed to evaluate the efficiency with which the firm manages…

Q: Define basic earning power (BEP) ratio

A: The formula to compute basis earning power ratio as follows:

Q: xplain what is meant by maintaining financial flexibility.

A: Companies generally do plan for the cash needs and follow as per the budgets and plans to run the…

Q: n ROI, which division is more successful"

A: ROI means return on investment. It is used to calculate the profitability from the investment made.

Q: give empirical evidence about market efficiency stong form

A: Introduction : In simple words, strong form market efficiency hypothesis states that securities in…

Q: contribution margin percentage

A: Contribution margin percentage = (Selling price per unit - Variable cost per unit)*100/Selling price…

Q: PRODUCTIVITY RATIO

A: Units expected to be produced in 0.5 minutes 1 Units expected to be produced in 'n' minutes Total…

Q: What is an operational productivity measure and a financial measure?

A:

Q: Classify the performance measures below into the most likely balanced scorecard perspective towhich…

A: Balance Scorecard is used in strategic management to measure the performance by ascertaining…

Q: return on investment

A: First option is wrong because return on investment will decrease if invested capital increases.…

Q: Classify the performance measures below into the most likely balanced scorecard perspective towhich…

A: Balance Scorecard is used in strategic management to measure the performance by ascertaining…

Q: Pricing Strategy

A: Answer: Pricing strategy refers to the method by which companies use to fix the prices for their…

Q: Build an influence diagram that illustrates how to calculate profit.

A: Profit : Every business motive is to earn profit.  Profit is generally earned when the business…

Q: Classify the performance measures below into the most likely balanced scorecard perspective towhich…

A: Balanced scorecard: It is a tool to measure the performance that relates a company’s strategy to…

Q: evaluated only on ROI.

A: ROI is the return on investment made by entity.

Q: Define lean accounting.

A: Lean Accounting: Lean accounting represents amendments to be made to a company's management of…

Q: what are the advantages of calculating a supplier performance index?

A: Supplier Performance Index: A supplier performance index is used to determine the total cost of…

Q: What ratios would you compute to evaluate management performance?

A: There are many financial ratios used by businesses to analyze their performance in the current year.…

Q: Profit maximization

A: Introduction: The term financial management refers to the art of planning, organizing, directing…

Q: Define financial flexibility.

A: