# 118 golden corporation has operating income of 336 000 a sales margin of 16 and capi 4310251

118) Golden Corporation has operating income of $336,000, a sales margin of 16%, and capital turnover of 3.0. The return on investment (ROI) for Golden Corporation would be closest to

A) 5%.

B) 48%.

C) 2%.

D) 160%.

119) Kleeman Company has a sales margin of 16%, operating income of $336,000, and capital turnover of 3.0. The sales in dollars for Kleeman Company would be closest to

A) $ 3,760.

B) $ 12,000.

C) $1,008,000.

D) $2,100,000.

120) Lewis Company has operating income of $336,000. Its return on investment (ROI) is 48%, while its target rate of return is 10%. The total assets of Lewis Company would be closest to

A) $33,600.

B) $3,360,000.

C) $161,280.

D) $700,000.

121) Dagny Enterprises has a target rate of return of 10%, an ROI of 48%, and capital turnover of 3.0. The sales margin for Dagny Enterprises would be closest to

A) 144%.

B) 16%.

C) 3%.

D) 30%.

122) The Top Hat Division of Blandon's Fine Menswear had the following results last year (in thousands).

Sales |
$ 4,500,000 |

Operating income |
$ 675,000 |

Total assets |
$ 3,000,000 |

Current liabilities |
$ 250,000 |

Management's target rate of return is 12% and the weighted average cost of capital is 9%.

What is the Top Hat Division's sales margin?

A) 150.00%

B) 22.50%

C) 15.00%

D) 5.56%

123) The Top Hat Division of Blandon's Fine Menswear had the following results last year (in thousands).

Sales |
$ 4,500,000 |

Operating income |
$ 675,000 |

Total assets |
$ 3,000,000 |

Current liabilities |
$ 250,000 |

Management's target rate of return is 12% and the weighted average cost of capital is 9%.

What is the Top Hat Division's capital turnover?

A) 6.7

B) 4.4

C) 1.5

D) 18.0

124) The Top Hat Division of Blandon's Fine Menswear had the following results last year (in thousands).

Sales |
$ 4,500,000 |

Operating income |
$ 675,000 |

Total assets |
$ 3,000,000 |

Current liabilities |
$ 250,000 |

Management's target rate of return is 12% and the weighted average cost of capital is 9%.

What is the Top Hat Division's Return on Investment (ROI)?

A) 22.50%

B) 15.00%

C) 150.00%

D) 5.56%

125) The Top Hat Division of Blandon's Fine Menswear had the following results last year (in thousands).

Sales |
$ 4,500,000 |

Operating income |
$ 675,000 |

Total assets |
$ 3,000,000 |

Current liabilities |
$ 250,000 |

Management's target rate of return is 12% and the weighted average cost of capital is 9%.

What is the Top Hat Division's Residual Income (RI)?

A) $ 135,000

B) $ 405,000

C) $ 225,000

D) $ 315,000

126) Izzy Division of Marine Boats Corporation had the following results last year (in thousands).

Sales |
$ 4,500,000 |

Operating income |
$ 700,000 |

Total assets |
$ 4,000,000 |

Current liabilities |
$ 250,000 |

Management's target rate of return is 10% and the weighted average cost of capital is 8%.

What is the Izzy Division's Residual Income (RI)?

A) $ 70,000

B) $ 400,000

C) $ 700,000

D) $ 300,000

127) Pendant Publishing reported the following results for its Textbook Division:

Sales |
$ 2,200,000 |

Operating income |
$ 440,000 |

Total assets |
$ 1,100,000 |

Current liabilities |
$ 1,000,000 |

Pendant's target rate of return is 15% and the weighted average cost of capital is 10%. Its effective tax rate is 35%.

What is the Textbook Division's sales margin?

A) 200.00%

B) 20.00%

C) 40.00%

D