K 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 5% and the weighted average cost of capital is 10%. Its effective tax rate is 40% Sales Operating income Total assets Current liabilities What is the division's Return on Investment (ROI)? $7,000,000 1,750,000 2,000,000 850,000 OA. 87.5% OB. 42.5% OC. 350% OD. 25% 4