samieskyy6732 samieskyy6732

26-12-2019
Business

contestada

Marigold Corp.had average operating assets of $4400000 and sales of $2200000 in 2016. If the controllable margin was $440000, the ROI was_________.

Respuesta :

ahmedgodtrust ahmedgodtrust

27-12-2019

Answer:

ROI = Net income x 100

Average operating assets

ROI = $440,000 x 100

$4,400,000

ROI = 10%

Explanation:

ROI is the ratio of net income to average operating assets multiplied by 100. Controlling margin refers to net income. ROI measures rate of return on invested capital.

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