Use the Information Below to Answer the Following Question(s)

Multiple Choice

Use the information below to answer the following question(s) .
Berger Publishing has two divisions which operate autonomously. Their results for the past year were as follows:

The company's desired rate of return is 15%.
-During the past year Badger Company had a net income of $175,000. What is the ROI if the investment is $25,000?

A) 0.142
B) 2.500
C) 5.140
D) 7.000
E) 5.450