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Beta Division had the following information: Investment in Beta Division $400,000 Operating Profit in Beta Division $50,000 Weighted average cost of capital 12% Target ROI
Beta Division had the following information:
Investment in Beta Division | $400,000 |
Operating Profit in Beta Division | $50,000 |
Weighted average cost of capital | 12% |
Target ROI | 15% |
Profit Margin % for Beta Division | 20% |
35. If the division investment is decreased by $100,000, with no other changes, the return on investment of Beta Division will be
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