Jenkin's Card Shop had net income of $77,000 this year with owner's equity of $108,000. What is the return on investment for the year?
A) 140.3%
B) 71.3%
C) 40.3%
D) 28.7%

Question

Quizplus · Accepted Answer

The return on investment (ROI) can be calculated using the formula: 
ROI = (Net Income / Owner's Equity) x 100%
= (77,000 / 108,000) x 100%
= 71.3%
Therefore, the correct answer is B) 71.3%.

Jenkin's Card Shop Had Net Income of $77,000 This Year