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.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter12: Balanced Scorecard And Other Performance Measures
Section: Chapter Questions
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.
Transcribed Image Text: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.
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