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Searchlight, Inc. uses ROI to evaluate operations and requires the return on its operating units to be 9%. Operating data for the Western division is

Searchlight, Inc. uses ROI to evaluate operations and requires the return on its operating units to be 9%. Operating data for the Western division is shown below:

Sales $1,000,000

Controllable margin 120,000

Total average assets 600,000

Fixed costs 60,000

How much is ROI for the year?

a.17%

b. 30%

c.20%

d.10%

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