Answered: The profit margin for Division L is…

The profit margin for Division L is 7.5% and the investment turnover is 1.40. What is the rate of return on investment for Division L? a. 8.4% b. 11.2% c. 10.5% d. 9.0%

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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Question

Subject financial accounting

The profit margin for Division L is 7.5% and
the investment turnover is 1.40.
What is the rate of return on investment for
Division L?
a. 8.4%
b. 11.2%
c. 10.5%
d. 9.0%

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