SOLUTION: (b) Show why the return on investment (ROI) and return on income (RI) may give conflicting investment decision responses when applied to the same set of data. Use the following dat
Algebra ->
Finance
-> SOLUTION: (b) Show why the return on investment (ROI) and return on income (RI) may give conflicting investment decision responses when applied to the same set of data. Use the following dat
Log On
Question 1206172: (b) Show why the return on investment (ROI) and return on income (RI) may give conflicting investment decision responses when applied to the same set of data. Use the following data to illustrate the conflicting responses which may arise:- Additional investment of TZS. \(60,000,000,000\).- Average net profit per year: TZS. 9,000,000,000.- Cost of capital: 14 percent.- Existing capital employed: TZS \(300,000,000,000\) with ROCE 20 percentage Answer by ikleyn(52781) (Show Source):