Answered: The following is available for Golden…

The following is available for Golden Corporation for 2019: Sales 2,000,000 Average invested capital (assets) 500,000 Net income 300,000 Cost of capital 18% What is the return on investment

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

The following is available for Golden Corporation for 2019:

Sales 2,000,000

Average invested capital (assets) 500,000

Net income 300,000

Cost of capital 18%

What is the return on investment for Golden Corp.?

Group of answer choices

Formula Formula ROI (%) = Net Income Principal Amount × 100

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