F Company has revenues of P1,500,000 resulting in an operating income of P105,000. Average invested assets total P750,000; the cost of capital is 10%. Return on investment is?     A.   7% B.  10% C.  14% D.  60%

Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter14: Decentralized Operations
Section: Chapter Questions
Problem 3SEQ: Division A of Kern Co. has sales of $350,000, cost of goods sold of $200,000, operating expenses of...
icon
Related questions
Question
F Company has revenues of P1,500,000 resulting in an operating income of P105,000. Average invested assets total P750,000; the cost of capital is 10%. Return on investment is?  
 
A.   7%
B.  10%
C.  14%
D.  60%
Expert Solution
steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Divisional performance management
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Survey of Accounting (Accounting I)
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning