Pacific Division for Bean Company has a rate of return on investment of 28% and an investment turnover of 1.4. What is the profit margin? a. 28% b. 14% c. 20% d. 39.2%

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter10: Evaluating Decentralized Operations
Section: Chapter Questions
Problem 4BE: Profit margin, investment turnover, and ROI Briggs Company has operating income of 36,000, invested...
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Pacific Division for Bean Company has a rate of return on
investment of 28% and an investment turnover of 1.4.
What is the profit margin?
a. 28%
b. 14%
c. 20%
d. 39.2%
Transcribed Image Text:Pacific Division for Bean Company has a rate of return on investment of 28% and an investment turnover of 1.4. What is the profit margin? a. 28% b. 14% c. 20% d. 39.2%
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