Sarasota Corporation has operating income of $72,000, a profit margin of 12%, and asset turnover of 3.0. The return on investment (ROI) for Sarasota Corporation would be closest to

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ROI = (Operating Income / Total Assets) * 100
Total Assets = Operating Income / Asset Turnover

Total Assets = $72,000 / 3.0 = $24,000
ROI = ($72,000 / $24,000) * 100 = 300%
Profit Margin = Net Income / Sales

Net Income = Operating Income * Profit Margin = $72,000 * 0.12 = $8,640
Return on Investment = Net Income / Total Assets = $8,640 / $24,000 = 0.36 or 36%

Sarasota Corporation Has Operating Income of $72,000, a Profit Margin