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The Box Manufacturing Division of the Allied Paper Company reported the following results from the past year. Shareholders require a return of 9%. Management calculated
The Box Manufacturing Division of the Allied Paper Company reported the following results from the past year. Shareholders require a return of 9%. Management calculated a weighted average cost of capital (WACC) of 7%. Allied's corporate tax rate is 30%. Sales $900,000 Operating income 180,000 Total assets $1,800,000 Current liabilities 800,000 What is the division's Return on Investment (ROI)
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