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Assume the Hiking Shoes division of the Simply Shoes Company had the following results last year (in thousands). Management's target rate of return is 25%

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Assume the Hiking Shoes division of the Simply Shoes Company had the following results last year (in thousands). Management's target rate of return is 25% and the weighted average cost of capital is 15%. Its effective tax rate is 40%. What is the division's sales margin? A. 130% B. 30% C. 433.33% D. 25.67%

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