Chace Products Is a Division of a Major Corporation

question 20

Multiple Choice

Chace Products is a division of a major corporation. Last year the division had total sales of $21,300,000, net operating income of $575,100, and average operating assets of $5,000,000. The company's minimum required rate of return is 12%.
-The division's return on investment (ROI) is closest to:

• A)49.0%
• B)11.5%
• C)0.3%
• D)2.2%