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The Meikle division has assets of $750,000, current liabilities of $150,000, and net operating income of $187,500. a. What is the divisions ROI? - 25%?
The Meikle division has assets of $750,000, current liabilities of $150,000, and net operating income of $187,500.
a. What is the divisions ROI? - 25%?
b. If the weighted-average cost of capital is 16 percent, what is the divisions EVA? -91,000?
c. Which is the better technique to measure performance? EVA
One of these are wrong I only received partial credit for this problem with the answers provided.
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