Answer:
The correct answer is option B. Return on Investment.
Step-by-step explanation:
The return on investment is used when we want to measure the capacity of an investment, or compare it among several other investments.
Here the <u>benefit of a certain investment will be compared in contrast to the money invested. </u>
To calculate the return on investment there is a formula which will give us a percentage:
ROI = Margin on sales X asset turnover.
Now let's clarify what each of these things is:
Margin on sales: it is the result obtained from the calculation of benefits / sales.
Asset Rotation: this is the result obtained from the calculation of Average Total Sales / Assets.
