- Question 10 Benet Division Of United Refinery Company S Operating Results Include Controllable Margin 200 000 Sales 1 (38.95 KiB) Viewed 63 times
QUESTION 10 Benet Division of United Refinery Company's operating results include: controllable margin, €200,000; sales €2,200,000; and operating assets, €800,000. The Benet Division's ROI is 25%. Management is considering a project with sales of €100,000, variable expenses of €60,000, fixed costs of £40,000; and an asset investment of €150,000. Should management accept this new project? No, since ROI will be lowered. Yes, since ROI will increase. O Yes, since additional sales always mean more customers. No, since a loss will be incurred. QUESTION 11 The Fulmar Division of Jayne Manufacturing had an ROI of 25% when sales were £3 million and controllable margin was £600,000. What were the average operating assets? £150,000 £750,000 £2,400,000 O £12,000