If an Investment Center Has Generated a Controllable Margin of $150000

question 106

Multiple Choice

If an investment center has generated a controllable margin of $150000 and sales of $600000 what is the return on investment for the investment center if average operating assets were $1000000 during the period?

• A) 15%
• B) 25%
• C) 45%
• D) 60%

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Definitions:

Negligent Preparation

Refers to the lack of reasonable care in the preparation of documentation or products, potentially leading to harm or loss.

Financial Statements

are formal records of the financial activities and position of a business, person, or other entity, presenting the financial performance over a specific period.

Rule 10b-5

A regulation under the Securities Exchange Act of 1934 that prohibits any act or omission resulting in fraud or deceit in connection with the sale or purchase of any security.

Securities Exchange Act

Also known as the Securities Exchange Act of 1934, it regulates the trading of securities in the U.S. and established the Securities and Exchange Commission (SEC).