A firm's after-tax operating income was $1,000,000 in 2016.It started the year with total capital of $8,000,000 and raised an additional $1 million of capital during the year.The additional capital raised during 2016 only started to affect the operating income in 2017.Which value best represents the return on capital for 2016?
A) 12.5%
B) 11.8%
C) 11.1%
D) 10.0%
Correct Answer:
Verified
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