Which of the following best describes a technique for assessing the value of IT investments which calculates net earnings from operations divided by net assets?
A) Modified NPV
B) NPV
C) EVA
D) ROI

Question

Quizplus · Accepted Answer

ROI (Return on Investment) is a financial performance measure that calculates the net earnings from operations divided by the net assets. It helps evaluate the efficiency of an IT investment and its ability to generate profits. Modified NPV (Net Present Value), NPV, and EVA (Economic Value Added) are other techniques for assessing the value of IT investments but they do not use the net earnings and net assets formula.

Which of the Following Best Describes a Technique for Assessing