**TB MC Qu. 10-135 Cabell Products is a Division of a Major Corporation**Cabell Products is a division of a major corporation. Last year, the division had total sales of $24,240,000, net operating income of $2,278,560, and average operating assets of $6,302,400. The company's minimum required rate of return is 16%.The division's margin is closest to:**Multiple Choice:**- 9.4%- 36.2%- 58.8%- 26.0% (selected option)**Explanation:**This question asks about calculating the division's margin, which is a measure of profitability. It is the ratio of net operating income to sales revenue, typically expressed as a percentage. The options provided are potential margin percentages, with 26.0% being the selected answer.

Formula: Margin = ( Net operating income / Sales ) x 100

Answered: Cabell Products is a division of a…

FINANCIAL ACCOUNTING

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Chapter1: Financial Statements And Business Decisions

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Cabell Products is a division of a major corporation. Last year the division had total sales of $24,240,000, net operating income of $2,278,560, and average operating assets of $6,302.400. The compan minimum required rate of return is 16%. The division's margin is closest to: