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Lance Inc. has a $1,477,500 investment opportunity with the following characteristics: Sales $ 2,500,000 Contribution margin ratio 50 % of sales Fixed expenses $ 757,500
Lance Inc. has a $1,477,500 investment opportunity with the following characteristics:
Sales | $ | 2,500,000 |
|
Contribution margin ratio |
| 50 | % of sales |
Fixed expenses | $ | 757,500 |
|
The ROI for this year's investment opportunity considered alone is closest to:
A) 8.1%
B) 100.0%
C) 33.3%
D) 8.6%
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