A firm is undertaking a revision of its financial metrics to make them more comprehensive and has decided to use metrics such as return on investment (ROI), return on assets (ROA), and economic value added (EVA). This is an example of utilizing which of the following types of metrics?
The metrics listed such as return on investment (ROI), return on assets (ROA), and economic value added (EVA) are primarily used to assess financial performance and health of a firm. These metrics are utilized to measure the financial sustainability of the business, ensuring it can maintain operations and grow over the long term while providing returns to its investors.
Correct answer: B. Given metrics are indeed financial but they are stakeholder interest-centric. These financial metrics do not have sustainability-oriented
I agree it should be B