The Cardstock Manufacturing Division of the Pulp Paper Company reported the following results from the past year. Shareholders require a return of 7%. Management calculated a weighted - average cost of capital (WACC) of 6%. The company's corporate tax rate is 35%. Sales $800,000 Operating income 160,000 Total assets $1,900,000 Current liabilities 500,000 What is the division's sales margin? A. 20% B. 8.42% C. 26.32% D. 42.11%