Assume the Residential Division of Kappy Faucets had the following results last year: Net sales revenue $6,600,000 Operating income 990,000 Average total assets 5,500,000 Management's target rate of return 16% What is the division's profit margin ratio? OA 120% OB. 15% OC. 667% OD. 18%

Assume the Residential Division of Kappy Faucets had the following results last year: Net sales revenue $6,600,000 Operating income 990,000 Average total assets 5,500,000 Management's target rate of return 16% What is the division's profit margin ratio? OA 120% OB. 15% OC. 667% OD. 18%

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

100%

Assume the Residential Division of Kappy Faucets had the following results last year.
Net sales revenue
$ 6,600,000
Operating income
990,000
Average total assets
5,500,000
Management's target rate of return
16%
What is the division's profit margin ratio?
O A 120%
OB. 15%
OC. 667%
OD. 18%

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