The __________ is the ratio of profit to the investment used to earn that profit.

Question

Quizplus · Accepted Answer

Return on investment (ROI) is the ratio of profit to the investment used to earn that profit. Markup is the difference between the cost of a product and the selling price. Selling margin is the difference between the selling price and the cost of the product expressed as a percentage of the selling price. Return on assets (ROA) is the ratio of net income to total assets. Markdown is a reduction in the selling price of a product. None of these options are the ratio of profit to investment, so C is the best choice.

The __________ Is the Ratio of Profit to the Investment