Evergreen Corporation Has Two Major Divisions: Agricultural Products and Industrial

Multiple Choice

Evergreen Corporation has two major divisions: Agricultural Products and Industrial Products.It provides the following information for the year. $$\begin{array} { | l | r | r | } \hline & \text { Agriculture Division } & \text { Industrial Division } \\\hline \text { Net sales } & \$ 140,000 & \$ 1,000,000 \\\hline \text { Operating income } & \$ 17,200 & \$ 218,000 \\\hline \text { Average assets } & \$ 310,000 & \$ 5,500,000 \\\hline\end{array}$$ Calculate the profit margin ratio for the Industrial Division of the company.(Round your answer to two decimal places.)

A) 3.96%
B) 5.55%
C) 21.80%
D) 12.29%