Required information
Skip to question
The following information applies to the questions displayed below.
Westerville Company reported the following results from last years operations:
Sales $
Variable expenses
Contribution margin
Fixed expenses
Net operating income $
Average operating assets $
This year, the company has a $ investment opportunity with the following cost and revenue characteristics:
Sales $
Contribution margin ratio of sales
Fixed expenses $
The companys minimum required rate of return is
If the company pursues the investment opportunity and otherwise performs the same as last year, what margin will it earn this year? Round your percentage answer to decimal place ie should be entered as
