Question: 13) If a company must decrease its sales price of a product while all of the company's expenses remain constant, what will happen to return

13) If a company must decrease its sales price of a product while all of the company's expenses remain constant, what will happen to return on investment (ROI)?

A) ROI will decrease.

B) ROI will increase.

C) ROI will not be affected.

D) We cannot determine the effect from the information provided.

PLEASE SHOW ANSWER AND PROVIDE EXPLANATION!

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!