Naples Inc How Much Is ROI for the Year If Management Is

question 177

Multiple Choice

Naples Inc. recorded operating data for its shoe division for the year. $$\begin{array} { l r } \text { Sales } & \$ 750,000 \\\text { Contribution margin } & 135,000 \\\text { Total fixed costs } & 90,000 \\\text { Average total operating assets } & 300,000\end{array}$$ How much is ROI for the year if management is able to identify a way to improve the contribution margin by $30000 assuming fixed costs are held constant?

• A) 25%
• B) 18%
• C) 45%
• D) 12%

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Definitions:

Neurons

The fundamental units of the brain and nervous system responsible for receiving sensory input from the external world, processing this information, and sending commands to the body.

Brain

The organ located in the head of an animal that controls its actions, thoughts, feelings, and interactions with the environment; central to the nervous system.

Mood Molecule

A colloquial term often used to refer to serotonin, a neurotransmitter that is linked to regulating mood, emotions, and several other functions in the body.

Neurotransmitter

Substances that act as intermediaries, sending signals from one nerve cell to another neuron, muscle cell, or gland cell across a chemical synapse.