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The Mens' Belt Division of Peter Senen Corporation is classified as an investment center. For the month of November, it had the following operating data:
The Mens' Belt Division of Peter Senen Corporation is classified as an investment center. For the month of November, it had the following operating data: Sales P675,000 Cost of goods sold 400,000 Operating Expenses 237,500 Total Assets 750.000 Weighted Average cost of capital 4% Peter Senen Corporation's average shareholders' equity is P300,000. It is subject to an income tax rate of 30%. What is the Men's Belt Division's return on investment? d. 3% a. 4% b. 5% c. 7.5% The Mens' Belt Division of Peter Senen Corporation is classified as an investment center. For the month of November, it had the following operating data: Sales P675,000 Cost of goods sold 400,000 Operating Expenses 237,500 Total Assets 750,000 Weighted Average cost of capital 4% Peter Senen Corporation's average shareholders' equity is P300,000. It is subject to an income tax rate of 30%. The Men's Belt Division's residual income amount to: O d. (P7,500) O c. P25.000 O a. P30,000 b. P7.500
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