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25. The Western Division of Lance Company reported the following results from the past year. Shareholders require a return of 7%, while the weighted-cost-of-capital is
25. The Western Division of Lance Company reported the following results from the past year. Shareholders require a return of 7%, while the weighted-cost-of-capital is 6%. Lance's corporate tax rate is 30%.
Sales | $ 700,000 |
Operating income | $175,000 |
Total assets | $1,500,000 |
Current liabilities | 600,000 |
What is the Western Division's Return on Investment (ROI)?
Group of answer choices
11.67%
25.00%
46.67%
40.00%
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