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Waterway Industries recorded operating data for its auto accessories division for the year. Sales $870000 Contribution margin 320000 Total direct fixed costs 90000 Average total

Waterway Industries recorded operating data for its auto accessories division for the year.

Sales $870000
Contribution margin 320000
Total direct fixed costs 90000
Average total operating assets 500000

How much is ROI for the year if management is able to identify a way to improve the contribution margin by $40000, assuming fixed costs are held constant?

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