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The Accounting Rate of Return Is Calculated As

Question 129

Multiple Choice

The accounting rate of return is calculated as:


A) The after-tax income divided by the total investment.
B) The after-tax income divided by the annual average investment.
C) The cash flows divided by the annual average investment.
D) The cash flows divided by the total investment.
E) The annual average investment divided by the after-tax income.

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