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    Management Accounting Study Set 2
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    Exam 17: Responsibility Accounting, Performance Evaluation and Transfer Pricing
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    Teresa's Taco Ltd Had the Following Results During the Most
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Teresa's Taco Ltd Had the Following Results During the Most

Question 50

Question 50

Multiple Choice

Teresa's Taco Ltd had the following results during the most recent year: Sales $500,000; Residual income $5,000; investment turnover 2.5; and a required rate of return of 15%. The return on investment was


A) 15.4%
B) 21.67%
C) 15.25%
D) 17.5%

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