Randall Company makes and distributes outdoor play equipment. Last year, sales were $2,400,000, operating income was $600,000, and the assets used were $3,000,000. The return on investment (ROI) is: a. 20% b. 80% c. 25% d. 125% e. none of the above

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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What is the return on investment?

Randall Company makes and distributes outdoor play
equipment. Last year, sales were $2,400,000, operating
income was $600,000, and the assets used were $3,000,000.
The return on investment (ROI) is:
a. 20%
b. 80%
c. 25%
d. 125%
e. none of the above
Transcribed Image Text:Randall Company makes and distributes outdoor play equipment. Last year, sales were $2,400,000, operating income was $600,000, and the assets used were $3,000,000. The return on investment (ROI) is: a. 20% b. 80% c. 25% d. 125% e. none of the above
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