Last Year Mocha Java, Inc

question 43

Multiple Choice

Last year Mocha Java, Inc. had an ROA of 10 percent, a profit margin of 5 percent, and sales of $25 million. What is Mocha Java's total assets?

• A) $0.125m.
• B) $1.25m.
• C) $12.5m.
• D) $12m.

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Definitions:

Variable Cost

Expenses that vary directly with the level of production or sales volume, such as materials and labor.