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Required information Skip to question [The following information applies to the questions displayed below.] The managers of the XYZ clubs, who have the authority to

Required information

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[The following information applies to the questions displayed below.]

The managers of the XYZ clubs, who have the authority to make investments as needed, are evaluated based largely on return on investment (ROI). The company's X Club reported the following results for the past year:

Sales $ 930,000
Net operating income $ 35,340
Average operating assets $ 100,000

The following questions are to be considered independently.

2. Assume that the manager of the club is able to increase sales by $93,000 and that, as a result, net operating income increases by $8,649. Further assume that this is possible without any increase in average operating assets. What would be the clubs return on investment (ROI)? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

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