Reference: 12-01
the Following Information Is Available on Company A

Multiple Choice

Reference: 12-01
The following information is available on Company A: $$\begin{array} { | l | l | } \hline \text { Sales } & \$ 900,000 \\\hline \text { Net operating income } & 36,000 \\\hline \text { Stockholders' equity } & 100,000 \\\hline \text { Average operating assets } & 180,000 \\\hline \text { Minimum required rate of return } & 15 \% \\\hline\end{array}$$
-Cable Company had the following results for the year just ended: $$\begin{array} { | l | l | } \hline \text { Net operating income } & \$ 2,500 \\\hline \text { Turnover } & 4 \\\hline \text { Return on investment } & 20 \% \\\hline\end{array}$$ Cable Company's average operating assets during the year were?

A) $10,000.
B) $50,000.
C) $12,500.
D) $200,000.