The Baily Division Recorded Operating Data as Follows for the Past

question 41

Multiple Choice

The Baily Division recorded operating data as follows for the past two years:

$\begin{array}{|l|r|r|} \hline& \text { Year 1 } & \text { Year 2 } \\\hline \text { Sales } & ? & \$ 1,200,000 \\\hline \text { Shareholders' Equity } & \$ 540,000 & \$ 720,000 \\\hline \text { Average Operating Assets } & \$ 600,000 & ? \\\hline \text { Margin } & 15 \% & ? \\\hline \text { Return on Investment } & 22.5 \% & 18 \% \\\hline\end{array}$
$\text { Baily Division's turnover was exactly the same in both Year } 1 \text { and Year } 2 .$


-What were the average operating assets in Year 2?

• A) $720,000.
• B) $750,000.
• C) $800,000.
• D) $900,000.

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Definitions:

Prefrontal Lobes

The part of the brain located at the front of the frontal lobes, important for decision making, planning, and controlling social behaviors.

Occipital

Relating to the occipital lobe in the brain, which is primarily responsible for visual processing.

Temporal

Temporal pertains to time, including its measurement, its passage, and the sequencing of events.

Frontal

Pertaining to the front part of something, especially referring to the frontal lobe of the human brain, which is involved in executive functions such as decision making.