Rustic Corporation Has an ROI of 21%, Total Assets Of$6,200,000

question 196

Multiple Choice

Rustic Corporation has an ROI of 21%, total assets of$6,200,000, and current liabilities of $850,000. What is Rustic Corporation's operating income?

• A)$1,123,500
• B)$4,047,619
• C)$29,523,810
• D)$1,302,000

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Definitions:

Inventories

The raw materials, work-in-process products, and finished goods that are considered to be the portion of a business's assets that are ready or will be ready for sale.

GDP

The total value of all end products and services created within a country's borders during a certain time frame defines Gross Domestic Product.

Production

The process of creating goods or services by combining labor, capital, and raw materials in order to meet consumer demand.

Rental Housing Services

Rental Housing Services refer to the provision of accommodation for a payment made by tenants to landlords under agreed terms.