What will happen to return on investment (ROI)if selling and administrative expenses decrease while everything else remains the same?
A)ROI will increase.
B)ROI will decrease.
C)ROI will not be affected.
D)We cannot determine the effect from the information provided.

Question

Quizplus · Accepted Answer

Decreasing selling and administrative expenses will lead to an increase in profits, which will increase the ROI. Therefore, option (A) is the correct answer.

What Will Happen to Return on Investment (ROI)if Selling and Administrative