Question : Name profitability ratio based on investment.
Option 1: Return on investment
Option 2: Return on equity
Option 3: Earning per shares
Option 4: Price earnings ratio
Answer (1)
9th Jan, 2024
Correct Answer: Return on investment
Solution : Answer = Return on Investment
Return on investment (ROI) is the profitability ratio based on investment of Capital Employed. It measures the profitability of an investment relative to its cost, indicating the return generated per unit of investment made in a particular asset or project.
Hence, the correct option is 1.
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