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Bajalia Company compiled the following information for the year: Average operating assets Controllable margin $6,400,000 $ 800,000 Bajalia's corporate office expects the division to earn
Bajalia Company compiled the following information for the year: Average operating assets Controllable margin $6,400,000 $ 800,000 Bajalia's corporate office expects the division to earn a minimum return of 10%. If Bajalia buys a new machine costing $120,000 that is expected to generate additional controllable margin of $12,000, what happens to ROI? O It will decrease to 12.45%. It will be 10%. O It will increase to 12.69%. O It will be 12.5%
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