Huang Company Reported the Following Information for the Current Year

question 99

Multiple Choice

Huang Company reported the following information for the current year: $\begin{array}{|l|lr|}\hline \text { Sales } & \$ & 400,000 \\\hline \text { Average Operating Assets } & \$ & 250,000 \\\hline \text { Margin } & & 10 \% \\\hline\end{array}$ The company's return on investment was:

• A) 10%.
• B) 6.25%.
• C) 16%.
• D) Cannot be ascertained from the information provided.

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Definitions:

Valid Contracts

Agreements that meet all legal requirements, including offer, acceptance, consideration, and legality, making them enforceable in court.

Unenforceable Contracts

Agreements that, due to legal deficiencies, cannot be upheld or enforced by the courts.

Void Contracts

Agreements that are illegal or against public policy and therefore unenforceable by law.

Bilateral Contract

A contract in which the promise of one of the parties forms the consideration for the promise of the other.