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Using the Following Information, the Return on Investment Is A) 10%
B) 12%
C) 14%
D) 16

Question 46

Multiple Choice

Using the following information, the return on investment is:
 Sales $80000 Operating profit $10000 Profit margin 10% Equity $40000 Minimum required rate of return 12% Turnover of assets 1.4 times p.a. \begin{array} { l r } \text { Sales } & \$ 80000 \\\text { Operating profit } & \$ 10000 \\\text { Profit margin } & 10 \% \\\text { Equity } & \$ 40000 \\\text { Minimum required rate of return } & 12 \% \\\text { Turnover of assets } & 1.4 \text { times p.a. }\end{array}


A) 10%
B) 12%
C) 14%
D) 16.8%

Correct Answer:

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