Which of the following performance measures will increase if

Which of the following performance measures will increase if inventory decreases and all else remains the same or constant?

No

*That is all there is to the question

Return on Investment Residual Income
A) Yes Yes
B) No Yes
C) Yes No
D) No

No

*That is all there is to the question

Solution

Option A is the answer.

With the decrease in inventory, all others constant, the investment involved in business is lower than before. But able to generate same revenues. As a result there will be an increase in Return on Investment and Residual income  

Which of the following performance measures will increase if inventory decreases and all else remains the same or constant? No *That is all there is to the ques

Get Help Now

Submit a Take Down Notice

Tutor
Tutor: Dr Jack
Most rated tutor on our site