Question
A net book value produces a misleading increase in return on investment because __________. a. investment centres with old assets will show a higher return
A net book value produces a misleading increase in return on investment because __________.
| a. | investment centres with old assets will show a higher return on investment than investment centres with new assets | |
| b. | investment centres with old assets will show a lower return on investment than investment centres with new assets | |
| c. | investment centres with old assets will show an equal return on investment as investment centres with new assets | |
| d. | book value reflects changing market values | |
| e. | None of the answers. |
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Auditing The Art and Science of Assurance Engagements
Authors: Alvin A. Arens, Randal J. Elder, Mark S. Beasley, Ingrid B. Splettstoesser
12th Canadian edition
133098230, 978-0132791564, 132791560, 978-0133098235
