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What will happen to return on investment (ROI) if current assets decrease while everything else remains the same (assume the current assets decreased is part of operating current assets)?

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User Dpstart
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1 Answer

4 votes

Answer: There would be an increase on return on investment (ROI) if current assets decrease while everything else remains the same

Explanation: This is because when the profit(returns) is constant, but the assets drops in value, the new ROI will be relative drop in value of asset.

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User LeBleu
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