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An Investor Invested $25,000 in a Company's Common Shares and Sold

Question 65

Multiple Choice

An investor invested $25,000 in a company's common shares and sold it one year later for $32,500.During that year the company had average total assets of $3,750,000, average common shareholders' equity of $550,000, sales of $1,250,000 and net income of $ 125,000.The investor's ROI for the period was closest to?


A) 10%
B) 22.7%
C) 26%
D) 30%

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