The following information relates to last year's operations at the Legumes Division of Gervani Corporation: Minimum…

The following information relates to last year’s operations at
the Legumes Division of Gervani Corporation:

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Minimum required rate of return 11 %
Return on investment (ROI) 14.4 %
Sales $ 970,000
Turnover (on operating assets) 6 times

What was the Legume Division’s net operating income last
year?

Multiple Choice

  • $139,680

  • $106,700

  • $32,980

  • $23,280

Chavin Company had the following results during August: net
operating income, $250,000; turnover, 5; and ROI 19%. Chavin
Company’s average operating assets were:

Multiple Choice

  • $1,315,789

  • $1,250,000

  • $50,000

  • $47,500