Mikon Inc.generates a net profit of $64 million from $160 million of invested capital.Calculate its return on capital.
A)4%
B)40%
C)16%
D)61%
E)24%

Name: Mikon Inc.generates a net profit of $64 million from $160 million of invested capital.Calculate its return on capital. A)4% B)40% C)16% D)61% E)24%
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Return on Capital (ROC) is calculated by dividing net profit by the total amount of invested capital. In this case, ROC = ($64 million / $160 million) * 100 = 40%.

Mikon IncGenerates a Net Profit of $64 Million from $160 Million