If Division Q's yearly income from operations was $30,000 on invested assets of $200,000,the rate of return on investment is 15%.

Question

Quizplus · Accepted Answer

The rate of return on investment can be calculated by dividing the income from operations ($30,000) by the invested assets ($200,000) and multiplying by 100.

Rate of return on investment = (Income from operations / Invested assets) x 100

= (30,000 / 200,000) x 100

= 15%

Therefore, the statement is true.

If Division Q's Yearly Income from Operations Was $30,000 on Invested