1) Mad Dog Fence company expects to sell 300 fences p/yr for $1000 each. Monthly sales are 20% cash and 80% credit. Operating expenses are: variable costs of $450 p/fence and annual fixed costs of $80,000. Mad Dogs total assets are worth $200,000. This include hammers, saws, post hole diggers and a truck and trailer for hauling equipment to work sites. James, the owner expects a 16% rate of return of return on assets. What is Mad Dog’s annual Return on Investment? 10
a. 43%
b. 83%
c. 55%
d. 32%

Answer rating: 100% (QA)

1 Correct answer is a 43 Return on invest... View the full answer