Accounting Multiple Choice Question – 11 April 2023

What does this formula show?

•   Average annual profit / Average investment

Select ONE answer:

1. accounting rate of return
2. internal rate of return
3. net present value
4. payback period

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 1

1. Correct
2. Not correct
3. Not correct
4. Not correct

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