Robichau Inc

question 143

Multiple Choice

Robichau Inc. reported the following results from last year's operations:
At the beginning of this year, the company has a $900,000 investment opportunity with the following characteristics:
The company's minimum required rate of return is 20%.
-If the company pursues the investment opportunity and otherwise performs the same as last year,the combined ROI for the entire company will be closest to:

• A) 3.9%
• B) 24.0%
• C) 14.5%
• D) 18.5%

---

Definitions:

Fourth Amendment

A constitutional amendment in the United States protecting citizens against unreasonable searches and seizures by the government.

Self-Incrimination Clause

A provision in the Fifth Amendment of the U.S. Constitution that protects individuals from being forced to testify against themselves during criminal proceedings.

Subchapter S Corporation

A form of corporation in the U.S. that meets specific Internal Revenue Code requirements and passes income, losses, deductions, and credits to its shareholders for federal tax purposes.

Professional Corporations

A type of corporation for professionals (such as lawyers, doctors, and accountants) that offers certain tax and legal advantages.