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Watson Data Systems is considering expanding into a new product line. New assets to support expansion will cost $500,000. It is estimated that Watson can

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Watson Data Systems is considering expanding into a new product line. New assets to support expansion will cost $500,000. It is estimated that Watson can generate $1.2 million in annual sales, with a 6 percent profit margin. Calculate net income and retum on assets (investment) for the year. 5

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