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Sales and Average Operating Assets for Company P and Company

Question 48

Multiple Choice

Sales and average operating assets for Company P and Company Q are given below: Sales and average operating assets for Company P and Company Q are given below: What is the margin that each company will have to earn in order to generate a return on investment of 20%? A) 12% and 16% B) 50% and 100% C) 8% and 4% D) 2.5% and 5% What is the margin that each company will have to earn in order to generate a return on investment of 20%?


A) 12% and 16%
B) 50% and 100%
C) 8% and 4%
D) 2.5% and 5%

Correct Answer:

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