The Consumer Products Division of Mickolick Corporation Had Average Operating

Multiple Choice

The Consumer Products Division of Mickolick Corporation had average operating assets of $450,000 and net operating income of $38,700 in August. The minimum required rate of return for performance evaluation purposes is 10%. What was the Consumer Products Division's minimum required return in August?

A) $3,870
B) $38,700
C) $48,870
D) $45,000