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Assoli18 [71]
3 years ago
14

Given the following data: Average operating assets $ 504,000 Total liabilities $ 23,520 Sales $ 168,000 Contribution margin $ 85

,680 Net operating income $ 45,360 Return on investment (ROI) is:
Business
1 answer:
kipiarov [429]3 years ago
7 0

Answer:

9%

Explanation:

According to the given situation, the solution of return on investment is shown below:-

Return on investment = (Net operating income ÷ Average operating assets) × 100

now, we will put the values into the above formula

= ($45,360 ÷ $504,000) × 100

= 0.09 × 100

= 9%

Therefore for computing the return on investment we simply applied the above formula.

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Learn more on competitive market below

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