Beta Division Had the Following Information -Refer to the Figure

Multiple Choice

Beta Division had the following information:
$$\begin{array} { l r } \text { Asset base in Beta Division } & \$ 400,000 \\\text { Net income in Beta Division } & \$ 50,000 \\\text { Weighted average cost of capital } & 12 \% \\\text { Target ROI } & 15 \% \\\text { Margin for Beta Division } & 20 \%\end{array}$$
-Refer to the figure.What is the return on investment of Beta Division?

A) 12.5%
B) 20.0%
C) 62.5%
D) 800.0%