The Return on Investment (ROI)formula focuses on the amount of operating income earned before other revenue/expense items such as interest expense.

Name: The Return on Investment (ROI)formula focuses on the amount of operating income earned before other revenue/expense items such as interest expense.
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Question

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The ROI formula calculates the amount of operating income earned in comparison to the amount of invested capital. It doesn't take into account other revenue or expenses such as interest expense.

The Return on Investment (ROI)formula Focuses on the Amount of Operating