Chow Company Has a Number of Investment Centers to Track $\begin{array}{lr}\text { Operating income } & \$ 6,000,000 \\\text { Sales } & 15,000,000 \\\text { Asset turnover } & 47 \%\end{array}$

question 70

Multiple Choice

Chow Company has a number of investment centers to track on a day-to-day basis. The following represent key figures related to one of Chow's investment centers for May 2010: $\begin{array}{lr}\text { Operating income } & \$ 6,000,000 \\\text { Sales } & 15,000,000 \\\text { Asset turnover } & 47 \%\end{array}$ What is the investment center's ROI for May 2010 (rounded to two decimal places) ?

• A) 23.5 percent
• B) 28.2 percent
• C) 47 percent
• D) 18.8 percent

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Definitions:

Meganational Strategy

A business approach that involves operating on a global scale, effectively managing and integrating operations across multiple national borders.

Local Human Capital

The skills, knowledge, and experience possessed by an individual or population, considered in terms of their value or cost to a local area or organization.

Subsidiary Human Capital

Refers to the skills, knowledge, and abilities of the employees working in a subsidiary of a larger company.

Differentiated Needs

Distinct and specific requirements of customers or markets that businesses aim to fulfill with customized products or services.