Knowledge Check 01 When a manager has control over and is accountable for cost, profit or investments of an organization, it is called margin center responsibility center net operating income Cost center Knowledge Check 01 Residual income Net operating income less Average operating assets (Sales x Minimum required rate of return) (Average operating assets x Minimum required rate of return) OCost of goods sold Knowledge Check 01 For the year 2015, Systems Corporation earned a net operating income of $2 million on sales of $6 million. Assume that the company's average operating assets were $20 million. What the company's ROI? 10% 1% 33% 30% Knowledge Check 01 Return on Investment can be calculated by each of the following formulas except Margin/Turnover Margin x Turnover Net Operating Income/Average Operating Assets