Lakefront Equipment Company Has Several Divisions That Are Investment Centers

question 16

Multiple Choice

Lakefront Equipment Company has several divisions that are investment centers.Data for the Boat Division and the Trailer Division are shown here:

Which of the following statements would be the most meaningful interpretation of this data?

• A)The Boat Division's performance is better than that of the Trailer Division because it has higher assets.
• B)The Boat Division uses its assets less efficiently than the Trailer Division does because it has a lower return on investment.
• C)The Boat Division shows a more efficient use of assets than the Trailer Division because it has a higher operating income.
• D)The Boat Division is financially more successful than the Trailer Division because it shows an increase in assets.

---

Definitions:

Adolescent Growth Spurt

A rapid and intense period of physical growth that typically occurs during puberty.

Myopia

A common vision condition in which close objects appear clearly, but distant ones don't.

Young Adulthood

A stage of human development that typically covers individuals aged 20 to 40 years, characterized by the pursuit of independence, career establishment, and often starting a family.

Dyslexia

A reading disorder characterized by problems such as letter reversals, mirror reading, slow reading, and reduced comprehension (from the Greek roots dys, meaning “bad,” and lexikon, meaning “of words”).