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coldgirl [10]
11 months ago
12

br company has a contribution margin of 40%. sales are $312,500, net operating income is $25,000, and average operating assets a

re $200,000. what is the company's return on investment (roi)? multiple choice 62.5% 12.5% 8.0% 64.0%
Business
1 answer:
Klio2033 [76]11 months ago
5 0

The company's return on investment  ROI would be 12.5%

What does a favourable return on investment mean?

The profit from an investment is divided by the investment's cost to determine the return on investment (ROI). When represented as a percentage, an investment with a profit of $100 and a cost of $100 would have a ROI of 1, or 100%. Generally speaking, a yearly ROI of around 7% or higher is regarded as a decent ROI for an investment in stocks. This also refers to the S&P 500's average annual return when inflation is taken into account of the company to increase the profit margin. 

To know more about ROI click on the link below:

brainly.com/question/15726451

#SPJ4

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