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Your Company reports the following: Division A Division B Margin ? 7% Turnover 5 ? Average operating assets ? $175,000 Net operating income $ 42,000
Your Company reports the following:
Division A Division B Margin ? 7%
Turnover 5 ?
Average operating assets ? $175,000
Net operating income $ 42,000 ?
Stockholders' equity $300,000 $400,000
Sales $750,000 $525,000
ROI ? 21%
Calculate net income for Division B.
$42,000
| ||
$56,000 | ||
$30,000 | ||
$45,000 | ||
$36,750 |
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