Keeping all other factors constant, which of the following would not cause an increase in the return on investment?
A) actions that increase revenues
B) actions that increase liabilities
C) actions that decrease investments
D) actions that decrease expense
E) actions that increase sales

Question

Quizplus · Accepted Answer

Increasing liabilities would increase expenses and decrease profits, leading to a decrease in return on investment.

Keeping All Other Factors Constant, Which of the Following Would