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Westerville Company reported the following results from last year's operations: Sales Variable expenses Contribution margin Fixed expenses $1,800,000 435,000 1,365,000 1,005,000 $ 360,000 Net operating
Westerville Company reported the following results from last year's operations: Sales Variable expenses Contribution margin Fixed expenses $1,800,000 435,000 1,365,000 1,005,000 $ 360,000 Net operating income Average operating $1,200,000 assets At the beginning of this year, the company has a $300,000 investment opportunity with the follovwing cost and revenue characteristics: Sales Contribution margin ratio Fixed expenses $360,000 7e% of sales $216,000 The company's minimum required rate of return is 10% 7. If the company pursues the investment opportunity and otherrwise performs the same as last year, what margin will it earn this year? (Round your percentage answer to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) Margin %
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