The service division of Indigo Industries reported the following results for $2025.$

Sales

$$600,000$

$360,000$

Variable costs $,360,000$

Controllable fixed costs $,75,000$

Average operating assets $,750,000$

Management is considering the following independent courses of action in $2026$ in order to maximize the return on investment for this division.

Reduce average operating assets by $$150,000,$ with no change in controllable margin.

Increase sales $$120,000,$ with no change in the contribution margin percentage.

$($a$)$

Your answer is partially correct.

Compute the controllable margin and the return on investment for $2025.$

Controllable margin

Return on investment for $2025$

$\%$

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Attempts: $1$ of $3$ used