Question

The simple rate of return is also called all of the following except ________. annual rate of return unadjusted rate of return accounting rate of return

Answer 1

Answer: annual rate of return

Explanation:

The simple rate of return is also called the unadjusted rate of return or the accounting rate of return.

The simple rate of return is calculated when the incremental net operating income for the year is taken and then divided by the initial investment.

It should be noted that it's not called the annual rate of return.