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Accounting

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[The following information applies to the questions displayed below.]
Westerville Company reported the following results from last years operations:
Sales $ 1,200,000
Variable expenses 320,000
Contribution margin 880,000
Fixed expenses 640,000
Net operating income $ 228,000
Average operating assets $ 600,000
This year, the company has a $150,000 investment opportunity with the following cost and revenue characteristics:
Sales $ 240,000
Contribution margin ratio 50% of sales
Fixed expenses $ 84,000
The companys minimum required rate of return is 15%.
7. 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 1 decimal place (i.e .1234 should be entered as 12.3))

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