If the profit margin for a division is 11% and the investment turnover is 1.5,the rate of return on investment is 16.5%.

Name: If the profit margin for a division is 11% and the investment turnover is 1.5,the rate of return on investment is 16.5%.
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Question

Quizplus · Accepted Answer

The rate of return on investment (ROI) is calculated by multiplying the profit margin by the investment turnover. In this case,

ROI = 0.11 x 1.5 = 0.165 or 16.5%

Therefore, the statement is true.

If the Profit Margin for a Division Is 11% and the Investment