p. has sales revenue of $509,000 resulting in operating income of $57,000. Average invested assets total $603,000, and the cost of capital is 6%. Calculate the return on investment if sales increase by 10% and the profit margin and invested assets remain the same. (Round your intermediate calculations and final answers to 2 decimal places.)

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Leo Corp. has sales revenue of $509,000 resulting in operating income of $57,000. Average invested assets total $603,000, and the cost of capital is 6%. Calculate the return on investment if sales increase by 10% and the profit margin and invested assets remain the same. (Round your intermediate calculations and final answers to 2 decimal places.)

 

 

 

Multiple Choice
  •  
    11.30%
  •  
    9.45%
  •  
    6.50%
  •  
    10.42%
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