Question: Saved Help Save & Exit Robichau Inc. reported the following results from last year's operations: Sales Variable expenses Contribution margin Fixed expenses Net operating income
Saved Help Save & Exit Robichau Inc. reported the following results from last year's operations: Sales Variable expenses Contribution margin Fixed expenses Net operating income Average operating assets $6,300,000 4,930,000 1,370,000 803,000 $567,000 $3,000,000 At the beginning of this year, the company has a s900.000 investment opportunity with the following characteristics $1,530,000 Sales Contribution margin ratio Pixed expenses 30% of sales $ 306, 000 The company's minimum required rate of return is 20%. If the company pursues the investment opportunity and otherwise performs the same as last year the combined ROl for the entire company will be closest to: K Prev 12 of 25 ENext
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