Planet Company had operating income of $12,000, average operating assets of $125,000, and sales of $45,000.What is Planet's return on investment (ROI)? (Note: Round answer to two decimal places.)
A) 9.60%
B) 20.60%
C) 25.50%
D) 5.80%
E) 4.50%

Question

Quizplus · Accepted Answer

Return on Investment (ROI) = Operating Income/Average Operating Assets = $12,000 / $125,000 = 0.096 or 9.60%

Planet Company Had Operating Income of $12,000, Average Operating Assets