What is the Return on Investment for the division below Division Operating Income $300,000 Total Assets...

What is the Return on Investment for the division below

		Division
Operating Income		$300,000
Total Assets Jan 1		$900,000
Total Assets Dec 31		$850,000

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Expert Solution

Return on Investment = Net Operating income / Average Assets x 100

= $300,000 / $ 875000 x 100

= 34.2857% or

= 34.29%

Average Assets = ($900,000 + $850,000) / 2

= $875,000

ekkarill92 answered 1 year ago

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