Asked by Karla Rosas on Jul 14, 2024

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In looking at ROI, turnover measures management's ability to control operating expenses in relation to sales.

ROI

Return on Investment; a performance measure used to evaluate the efficiency or profitability of an investment relative to its cost.

Turnover

Turnover is a financial metric indicating the rate at which a company's inventory is sold and replaced over a specific period, or it can refer to the total sales volume.

Operating Expenses

Costs necessary for a company to conduct its day-to-day operations, excluding the cost of goods sold (COGS).

  • Analyze the utilization and repercussions of different performance indicators, including ROI, residual income, and turnover rates.
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RT
Rahsheeda ThomasJul 15, 2024
Final Answer :
False
Explanation :
Turnover measures how efficiently a company uses its assets to generate sales, not specifically how it controls operating expenses in relation to sales.