Which of the following expressions is termed the investment turnover factor as used in determining the rate of return on investment?
A) Invested Assets/Sales
B) Operating Income/Invested Assets
C) Operating Income/Sales
D) Sales/Invested Assets

Question

Quizplus · Accepted Answer

The investment turnover factor is calculated by dividing the Sales by the Invested Assets. This ratio indicates how efficiently a company is using its assets to generate revenue.

Which of the Following Expressions Is Termed the Investment Turnover