Use the Following Information of the Toro Division of Hondo

question 8

Multiple Choice

Use the following information of the Toro division of Hondo Corporation to answer the next question(s) :
Total divisional assets are $800,000. The firm's minimum required rate of return is 10%.
-Return on investment for the Toro division is

• A) 5.34%.
• B) 10%.
• C) 12.5%.
• D) 18.75%.

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Definitions:

Organizational Designs

The planning and structuring of an organization's roles, responsibilities, and processes to achieve its goals efficiently.

Delegation

Delegation involves the assignment of responsibility or authority to another person (normally from a manager to a subordinate) to carry out specific activities.

Horizontal Structures

An organizational structure that emphasizes teamwork and collaboration among departments, reducing hierarchies.

Span of Control

The number of direct reports that a supervisor or manager can effectively manage.