1. Assuming all other factors remain the same, a decrease in invested assets will:

1. Increase ROI
2. Decrease ROI
3. Have no effect on ROI
4. Decrease the profit margin

2. Assuming all other factors remain the same, a decrease in accounts receivables will:

1. Increase ROI
2. Decrease ROI
3. Have no effect on ROI
4. Decrease the profit margin

3. The profit margin and invested asset turnover ratio may be best considered as a:

a. profitability and efficiency measure

b. residual income and gross margin measure

c. a and b

d. none of the above