MANAGERIAL ACCT W/CONNECT >IC<
MANAGERIAL ACCT W/CONNECT >IC<
15th Edition
ISBN: 9781259405303
Author: Garrison
Publisher: MCG
bartleby

Videos

Question
Book Icon
Chapter 11, Problem 4Q
To determine

Return on Investment (ROI)

Return on Investment is calculated as Margin divided by Turnover. Here Margin refers to the Sales Margin and Turnover refers to the Capital Turnover Ratio.

Return on Investment calculations are important from a business standpoint as they help in evaluation of new investment proposals, make or buy decisions, capital expenditure projects and whether to invest in a particular company or not.

Meaning of Margin and Turnover in ROI Calculations

Blurred answer

Chapter 11 Solutions

MANAGERIAL ACCT W/CONNECT >IC<

Knowledge Booster
Background pattern image
Accounting
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
How To Analyze an Income Statement; Author: Daniel Pronk;https://www.youtube.com/watch?v=uVHGgSXtQmE;License: Standard Youtube License