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MArishka [77]
3 years ago
14

Tempest Enterprises had a sales margin of 5%, sales of $4,000,000, and invested capital of $5,000,000. The company's ROI was:___

____
a. 16.00%.
b. 4.00%.
c. 25.00%.
d. 6.25%.
e. None of the answers is correct.
Business
1 answer:
MariettaO [177]3 years ago
4 0

Answer:

b. . 4.00%.

Explanation:

Calculation for The company's ROI

ROI=(5% x $4,000,000) / $5,000,000

ROI=$200,000/$5,000,000

ROI = 4.00%

Therefore The company's ROI was: 4.00%

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Answer:

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Explanation:

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                           Future Value = Present Value * (1 + i) ^ n

<u>Re-arrange equation for "n" which is the Time Period:</u>

⇒ FV / PV = (1 + i) ^ n

Taking log on both sides;

⇒ log (FV / PV) = log (1 + i) ^ n

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Answer:

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