USProducts Operates Two Divisions with the Following Sales and Expense

question 1

Multiple Choice

U.S.Products operates two divisions with the following sales and expense information for the month of May: North Division: Sales $240,000; Operating income $72,000, Operating assets $600,000.
South Division: Sales $160,000; Operating income $80,000, Operating assets $800,000.
U.S.Products expects a minimum return of 10% should be earned from all investments.
North Division's return on investment for May is:

• A)10%.
• B)12%.
• C)20%.
• D)30%.

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Definitions:

Principle Of Equivalence

The concept in decision theory that choices should be consistent when presented in different forms but representing the same problem.

Spatial

Related to, or existing in space; involving the perception, awareness, and manipulation of objects in a three-dimensional space.

Transformational

Related to a process of profound change in form, structure, or appearance, often used in contexts of transformational leadership or transformational grammar in linguistics.

Perceptual

pertaining to or involving the perception of the environment through the senses, including the process of recognizing, organizing, and interpreting sensory information.