The target rate of return on investment is another way of referring to the markup percentage.

Question

Quizplus · Accepted Answer

The target rate of return on investment and the markup percentage are related concepts, but they are not the same thing. The target rate of return on investment refers to the desired profit that a company wants to make on a particular investment, while the markup percentage refers to the amount added to a product’s cost to arrive at its selling price.

The Target Rate of Return on Investment Is Another Way