Provisions Company, a manufacturer of office supplies, provides the following financial information: Pen Division Pencil Division Operating income $100,000 $40,000 Net sales $500,000 $580,000 $610,000 $150,000 Total assets at Jan. 1 $350,000 Total assets at Dec. 31 $300,000 Calculate the return on investment for the Pen Division. (Round your answer to two decimal places.) O A. 17.24% O B. 16.81% OC. 12.31% O D. 16.39%
Provisions Company, a manufacturer of office supplies, provides the following financial information: Pen Division Pencil Division Operating income $100,000 $40,000 Net sales $500,000 $580,000 $610,000 $150,000 Total assets at Jan. 1 $350,000 Total assets at Dec. 31 $300,000 Calculate the return on investment for the Pen Division. (Round your answer to two decimal places.) O A. 17.24% O B. 16.81% OC. 12.31% O D. 16.39%
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Provisions Company, a manufacturer of office supplies, provides the following financial information:
|
Pen Division
|
Pencil Division
|
Operating income
|
$100,000
|
$40,000
|
Net sales
|
$500,000
|
$150,000
|
Total assets at Jan. 1
|
$580,000
|
$350,000
|
Total assets at Dec. 31
|
$610,000
|
$300,000
|
Calculate the return on investment for the Pen Division. (Round your answer to two decimal places.)
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