Carey, Inc. provides the following information: Profit margin ratio 5% Asset turnover ratio 2 times Net sales $450,000 Target rate of return 9% Calculate the return on investment. A) 10% B) 45% C) 4% D) 14%

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Calculate return on investment and give true answer

Carey, Inc. provides the following information:
Profit margin ratio 5%
Asset turnover ratio 2 times
Net sales
$450,000
Target rate of return 9%
Calculate the return on investment.
A) 10%
B) 45%
C) 4%
D) 14%
Transcribed Image Text:Carey, Inc. provides the following information: Profit margin ratio 5% Asset turnover ratio 2 times Net sales $450,000 Target rate of return 9% Calculate the return on investment. A) 10% B) 45% C) 4% D) 14%
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