What will happen to return on investment (ROI)if a company must decrease its selling price while all of the company's expenses remain constant?
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

If the selling price is decreased while all of the expenses remain constant, the company's profit per unit will decrease. This will lead to a decrease in ROI.

What Will Happen to Return on Investment (ROI)if a Company