Give correct solution Soto Corporation's balance sheet indicates that thecompany has $300,000 invested in operating assets.During 2011, Soto earned operating income of $48,000on $600,000 of sales.Compute Soto's return on investment for 2011.

Using the formula, Return on total assets = Operating income / Average operating assets Using given…

Answered: Soto Corporation's balance sheet…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter12: Balanced Scorecard And Other Performance Measures

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Problem 6EA: During the current year, Sokowski Manufacturing earned income of $350,000 from total sales of...

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Soto Corporation's balance sheet indicates that the company has $300,000 invested in operating assets. During 2011, Soto earned operating income of $48,000 on $600,000 of sales. Compute Soto's return on investment for 2011.