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Use the Following Information to Answer Question Waverly Company Has Set a Target Return on Investment (ROI)

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Use the following information to answer Question. The Furniture Division of Waverly Company reports the following results for 2012:  Revenues $400,000 Operating expenses $360,000 Operating income $40,000 Operating assets $500,000\begin{array} { l l } \text { Revenues } & \$ 400,000 \\\text { Operating expenses } & \$ 360,000 \\\text { Operating income } & \$ 40,000 \\\text { Operating assets } & \$ 500,000\end{array}
Waverly Company has set a target return on investment (ROI) of 12% for the Furniture Division.
Based on the information provided for Furniture, calculate the return on investment for 2012. Did the division achieve its target ROI of 12%?


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