a. Net present value rate.
b. Payback rate.
c. Accounting rate of return.
d. Earnings from investment.
e. Profit rate.
b. Payback rate.
c. Accounting rate of return.
d. Earnings from investment.
e. Profit rate.
Answer:
c. Accounting rate of return.
Explanation:
The Accounting rate of return is calculated by dividing the after tax net income by average investment (i.e. Accounting rate of return = After tax net income / Average investment )
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