ACCOUNTING TERMS - ACCOUNTING DICTIONARY - ACCOUNTING GLOSSARY
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AROE Definition
AROE is Adjusted Return on Equity.
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HYPOTHESIS is a proposition about cause and effect relationships. A hypothesis involves anticipating an effect, and a means of observing whether the anticipation is correct. A company’s strategy is based on a hypothesis – “If we do A, then B will result.” For example, a strategy map for a Balanced Scorecard explains the hypothesis behind an organization’s strategy.
MEDIUM TERM ASSETS, usually, are those assets that are expected of having a useful life of between six months and two years of the present.
