SlideShare a Scribd company logo
1 of 1
Download to read offline
give an example of a strength and weakness of the accounting rate of return approach
Solution
weakness : It ignores the time value of money or discounted cash flows , salvage value and life
of investment.The longer life investment may have same Accounting rate of return as shorter life
investment has.
Strenght : Accounting rate of return is based on accounting profits rather than the cash flows.
Calculating accounting profit is more simplier than calculating cash flow

More Related Content

More from formaxekochi

Why wont my code run I want to inherit everything from sailb.h cl.pdf
Why wont my code run I want to inherit everything from sailb.h cl.pdfWhy wont my code run I want to inherit everything from sailb.h cl.pdf
Why wont my code run I want to inherit everything from sailb.h cl.pdf
formaxekochi
 
What impact did Pythagoras have on EuclidSolutionPythagorasP.pdf
What impact did Pythagoras have on EuclidSolutionPythagorasP.pdfWhat impact did Pythagoras have on EuclidSolutionPythagorasP.pdf
What impact did Pythagoras have on EuclidSolutionPythagorasP.pdf
formaxekochi
 
Tic Tac Toe game with GUI please dont copy and paste from google. .pdf
Tic Tac Toe game with GUI please dont copy and paste from google. .pdfTic Tac Toe game with GUI please dont copy and paste from google. .pdf
Tic Tac Toe game with GUI please dont copy and paste from google. .pdf
formaxekochi
 
This is a U.S History questionThe 911 hijackers used fully-loade.pdf
This is a U.S History questionThe 911 hijackers used fully-loade.pdfThis is a U.S History questionThe 911 hijackers used fully-loade.pdf
This is a U.S History questionThe 911 hijackers used fully-loade.pdf
formaxekochi
 
5. A water sample with a total alkalinity of 2.00 x 10 molesL has .pdf
5. A water sample with a total alkalinity of 2.00 x 10 molesL has .pdf5. A water sample with a total alkalinity of 2.00 x 10 molesL has .pdf
5. A water sample with a total alkalinity of 2.00 x 10 molesL has .pdf
formaxekochi
 
21 Elucidate three different pathways for targeting proteins to the.pdf
21 Elucidate three different pathways for targeting proteins to the.pdf21 Elucidate three different pathways for targeting proteins to the.pdf
21 Elucidate three different pathways for targeting proteins to the.pdf
formaxekochi
 
Step 1 The Pair Class Many times in writing software we come across p.pdf
Step 1 The Pair Class Many times in writing software we come across p.pdfStep 1 The Pair Class Many times in writing software we come across p.pdf
Step 1 The Pair Class Many times in writing software we come across p.pdf
formaxekochi
 

More from formaxekochi (20)

Why wont my code run I want to inherit everything from sailb.h cl.pdf
Why wont my code run I want to inherit everything from sailb.h cl.pdfWhy wont my code run I want to inherit everything from sailb.h cl.pdf
Why wont my code run I want to inherit everything from sailb.h cl.pdf
 
Which statement is trueA.The main goal of work teams is to share .pdf
Which statement is trueA.The main goal of work teams is to share .pdfWhich statement is trueA.The main goal of work teams is to share .pdf
Which statement is trueA.The main goal of work teams is to share .pdf
 
When developing a new software we should take into account how to cr.pdf
When developing a new software we should take into account how to cr.pdfWhen developing a new software we should take into account how to cr.pdf
When developing a new software we should take into account how to cr.pdf
 
What impact did Pythagoras have on EuclidSolutionPythagorasP.pdf
What impact did Pythagoras have on EuclidSolutionPythagorasP.pdfWhat impact did Pythagoras have on EuclidSolutionPythagorasP.pdf
What impact did Pythagoras have on EuclidSolutionPythagorasP.pdf
 
Tic Tac Toe game with GUI please dont copy and paste from google. .pdf
Tic Tac Toe game with GUI please dont copy and paste from google. .pdfTic Tac Toe game with GUI please dont copy and paste from google. .pdf
Tic Tac Toe game with GUI please dont copy and paste from google. .pdf
 
This is a U.S History questionThe 911 hijackers used fully-loade.pdf
This is a U.S History questionThe 911 hijackers used fully-loade.pdfThis is a U.S History questionThe 911 hijackers used fully-loade.pdf
This is a U.S History questionThe 911 hijackers used fully-loade.pdf
 
The PCAOB and SOX were created in 2002 and yet accounting frauds occ.pdf
The PCAOB and SOX were created in 2002 and yet accounting frauds occ.pdfThe PCAOB and SOX were created in 2002 and yet accounting frauds occ.pdf
The PCAOB and SOX were created in 2002 and yet accounting frauds occ.pdf
 
The main purpose of welfare is to provide incomes O A. for people who.pdf
The main purpose of welfare is to provide incomes O A. for people who.pdfThe main purpose of welfare is to provide incomes O A. for people who.pdf
The main purpose of welfare is to provide incomes O A. for people who.pdf
 
The following is the sample code for multithreading. Run it and expl.pdf
The following is the sample code for multithreading. Run it and expl.pdfThe following is the sample code for multithreading. Run it and expl.pdf
The following is the sample code for multithreading. Run it and expl.pdf
 
A quantity of HI was sealed in a tube, heated to 425C, and held at t.pdf
A quantity of HI was sealed in a tube, heated to 425C, and held at t.pdfA quantity of HI was sealed in a tube, heated to 425C, and held at t.pdf
A quantity of HI was sealed in a tube, heated to 425C, and held at t.pdf
 
a higher GDP means that the U.S. either produced more goods and serv.pdf
a higher GDP means that the U.S. either produced more goods and serv.pdfa higher GDP means that the U.S. either produced more goods and serv.pdf
a higher GDP means that the U.S. either produced more goods and serv.pdf
 
All EXCEPT which of the following are stages of mitosis a) S ph.pdf
All EXCEPT which of the following are stages of mitosis  a) S ph.pdfAll EXCEPT which of the following are stages of mitosis  a) S ph.pdf
All EXCEPT which of the following are stages of mitosis a) S ph.pdf
 
5. A water sample with a total alkalinity of 2.00 x 10 molesL has .pdf
5. A water sample with a total alkalinity of 2.00 x 10 molesL has .pdf5. A water sample with a total alkalinity of 2.00 x 10 molesL has .pdf
5. A water sample with a total alkalinity of 2.00 x 10 molesL has .pdf
 
21 Elucidate three different pathways for targeting proteins to the.pdf
21 Elucidate three different pathways for targeting proteins to the.pdf21 Elucidate three different pathways for targeting proteins to the.pdf
21 Elucidate three different pathways for targeting proteins to the.pdf
 
The DOS Rename command allows file suffixes to be changed so that re.pdf
The DOS Rename command allows file suffixes to be changed so that re.pdfThe DOS Rename command allows file suffixes to be changed so that re.pdf
The DOS Rename command allows file suffixes to be changed so that re.pdf
 
Systematic Sampling Technique is used to select 5 numbers between 1 .pdf
Systematic Sampling Technique is used to select 5 numbers between 1 .pdfSystematic Sampling Technique is used to select 5 numbers between 1 .pdf
Systematic Sampling Technique is used to select 5 numbers between 1 .pdf
 
Summarize the process by which organizations change their cultures. .pdf
Summarize the process by which organizations change their cultures. .pdfSummarize the process by which organizations change their cultures. .pdf
Summarize the process by which organizations change their cultures. .pdf
 
Step 1 The Pair Class Many times in writing software we come across p.pdf
Step 1 The Pair Class Many times in writing software we come across p.pdfStep 1 The Pair Class Many times in writing software we come across p.pdf
Step 1 The Pair Class Many times in writing software we come across p.pdf
 
Sort the following formulas or structures as carboxylic acids, ester.pdf
Sort the following formulas or structures as carboxylic acids, ester.pdfSort the following formulas or structures as carboxylic acids, ester.pdf
Sort the following formulas or structures as carboxylic acids, ester.pdf
 
Please help me to solve this DEs question 7. Express the general s.pdf
Please help me to solve this DEs question  7. Express the general s.pdfPlease help me to solve this DEs question  7. Express the general s.pdf
Please help me to solve this DEs question 7. Express the general s.pdf
 

Recently uploaded

Spellings Wk 4 and Wk 5 for Grade 4 at CAPS
Spellings Wk 4 and Wk 5 for Grade 4 at CAPSSpellings Wk 4 and Wk 5 for Grade 4 at CAPS
Spellings Wk 4 and Wk 5 for Grade 4 at CAPS
AnaAcapella
 

Recently uploaded (20)

How to setup Pycharm environment for Odoo 17.pptx
How to setup Pycharm environment for Odoo 17.pptxHow to setup Pycharm environment for Odoo 17.pptx
How to setup Pycharm environment for Odoo 17.pptx
 
SOC 101 Demonstration of Learning Presentation
SOC 101 Demonstration of Learning PresentationSOC 101 Demonstration of Learning Presentation
SOC 101 Demonstration of Learning Presentation
 
Details on CBSE Compartment Exam.pptx1111
Details on CBSE Compartment Exam.pptx1111Details on CBSE Compartment Exam.pptx1111
Details on CBSE Compartment Exam.pptx1111
 
Basic Civil Engineering first year Notes- Chapter 4 Building.pptx
Basic Civil Engineering first year Notes- Chapter 4 Building.pptxBasic Civil Engineering first year Notes- Chapter 4 Building.pptx
Basic Civil Engineering first year Notes- Chapter 4 Building.pptx
 
dusjagr & nano talk on open tools for agriculture research and learning
dusjagr & nano talk on open tools for agriculture research and learningdusjagr & nano talk on open tools for agriculture research and learning
dusjagr & nano talk on open tools for agriculture research and learning
 
Philosophy of china and it's charactistics
Philosophy of china and it's charactisticsPhilosophy of china and it's charactistics
Philosophy of china and it's charactistics
 
General Principles of Intellectual Property: Concepts of Intellectual Proper...
General Principles of Intellectual Property: Concepts of Intellectual  Proper...General Principles of Intellectual Property: Concepts of Intellectual  Proper...
General Principles of Intellectual Property: Concepts of Intellectual Proper...
 
COMMUNICATING NEGATIVE NEWS - APPROACHES .pptx
COMMUNICATING NEGATIVE NEWS - APPROACHES .pptxCOMMUNICATING NEGATIVE NEWS - APPROACHES .pptx
COMMUNICATING NEGATIVE NEWS - APPROACHES .pptx
 
Sensory_Experience_and_Emotional_Resonance_in_Gabriel_Okaras_The_Piano_and_Th...
Sensory_Experience_and_Emotional_Resonance_in_Gabriel_Okaras_The_Piano_and_Th...Sensory_Experience_and_Emotional_Resonance_in_Gabriel_Okaras_The_Piano_and_Th...
Sensory_Experience_and_Emotional_Resonance_in_Gabriel_Okaras_The_Piano_and_Th...
 
How to Manage Global Discount in Odoo 17 POS
How to Manage Global Discount in Odoo 17 POSHow to Manage Global Discount in Odoo 17 POS
How to Manage Global Discount in Odoo 17 POS
 
FICTIONAL SALESMAN/SALESMAN SNSW 2024.pdf
FICTIONAL SALESMAN/SALESMAN SNSW 2024.pdfFICTIONAL SALESMAN/SALESMAN SNSW 2024.pdf
FICTIONAL SALESMAN/SALESMAN SNSW 2024.pdf
 
Towards a code of practice for AI in AT.pptx
Towards a code of practice for AI in AT.pptxTowards a code of practice for AI in AT.pptx
Towards a code of practice for AI in AT.pptx
 
AIM of Education-Teachers Training-2024.ppt
AIM of Education-Teachers Training-2024.pptAIM of Education-Teachers Training-2024.ppt
AIM of Education-Teachers Training-2024.ppt
 
TỔNG ÔN TẬP THI VÀO LỚP 10 MÔN TIẾNG ANH NĂM HỌC 2023 - 2024 CÓ ĐÁP ÁN (NGỮ Â...
TỔNG ÔN TẬP THI VÀO LỚP 10 MÔN TIẾNG ANH NĂM HỌC 2023 - 2024 CÓ ĐÁP ÁN (NGỮ Â...TỔNG ÔN TẬP THI VÀO LỚP 10 MÔN TIẾNG ANH NĂM HỌC 2023 - 2024 CÓ ĐÁP ÁN (NGỮ Â...
TỔNG ÔN TẬP THI VÀO LỚP 10 MÔN TIẾNG ANH NĂM HỌC 2023 - 2024 CÓ ĐÁP ÁN (NGỮ Â...
 
Interdisciplinary_Insights_Data_Collection_Methods.pptx
Interdisciplinary_Insights_Data_Collection_Methods.pptxInterdisciplinary_Insights_Data_Collection_Methods.pptx
Interdisciplinary_Insights_Data_Collection_Methods.pptx
 
Spellings Wk 4 and Wk 5 for Grade 4 at CAPS
Spellings Wk 4 and Wk 5 for Grade 4 at CAPSSpellings Wk 4 and Wk 5 for Grade 4 at CAPS
Spellings Wk 4 and Wk 5 for Grade 4 at CAPS
 
Basic Intentional Injuries Health Education
Basic Intentional Injuries Health EducationBasic Intentional Injuries Health Education
Basic Intentional Injuries Health Education
 
Mehran University Newsletter Vol-X, Issue-I, 2024
Mehran University Newsletter Vol-X, Issue-I, 2024Mehran University Newsletter Vol-X, Issue-I, 2024
Mehran University Newsletter Vol-X, Issue-I, 2024
 
21st_Century_Skills_Framework_Final_Presentation_2.pptx
21st_Century_Skills_Framework_Final_Presentation_2.pptx21st_Century_Skills_Framework_Final_Presentation_2.pptx
21st_Century_Skills_Framework_Final_Presentation_2.pptx
 
Wellbeing inclusion and digital dystopias.pptx
Wellbeing inclusion and digital dystopias.pptxWellbeing inclusion and digital dystopias.pptx
Wellbeing inclusion and digital dystopias.pptx
 

give an example of a strength and weakness of the accounting rate of.pdf

  • 1. give an example of a strength and weakness of the accounting rate of return approach Solution weakness : It ignores the time value of money or discounted cash flows , salvage value and life of investment.The longer life investment may have same Accounting rate of return as shorter life investment has. Strenght : Accounting rate of return is based on accounting profits rather than the cash flows. Calculating accounting profit is more simplier than calculating cash flow