Rose Company has sales of $1,200,000 and operating assets of $800,000 and achieved a 10 percent ROI. 4 If Rose Company increases expenses by $20,000 and sales remain unchanged, what ROI will result? a) 7.5% b) Not able to be calculated from the information provided. c) 14.5%. d) 10%.

Rose Company has sales of $1,200,000 and operating assets of $800,000 and achieved a 10 percent ROI. 4 If Rose Company increases expenses by $20,000 and sales remain unchanged, what ROI will result? a) 7.5% b) Not able to be calculated from the information provided. c) 14.5%. d) 10%.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Rose Company has sales of $1,200,000 and operating assets of $800,000 and
achieved a 10 percent ROI.
If Rose Company increases expenses by $20,000 and sales remain unchanged, what
ROI will result?
a) 7.5%
b) Not able to be calculated from the information provided.
c) 14.5%.
d) 10%.

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