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Business

Accounting

ales P 10,000,000 Average invested capital 4,000,000 Net Income 400,000 Cost of Capital 8%

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter14: Decentralized Operations

Section: Chapter Questions

Problem 3SEQ: Division A of Kern Co. has sales of $350,000, cost of goods sold of $200,000, operating expenses of...

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The following are selected data for the division for the consumer products of ABC Corp for 2020:

Sales P 10,000,000

Average invested capital 4,000,000

Net Income 400,000

Cost of Capital 8%

What is the return on investment for the division?

Group of answer choices

Formula Formula ROI (%) = Net Income Principal Amount × 100

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