Rhein Manufacturing recorded operating data for its auto accessories - 13372

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Request Description

Rhein Manufacturing recorded operating data for its auto accessories division for the year.
Sales $750,000
Contribution margin 150,000
Total direct fixed costs 90,000
Average total operating assets 400,000
How much is ROI for the year if management is able to identify a way to improve the contribution
margin by $30,000, assuming fixed costs are held constant?
22.5%
15.0%
45.0%
12.0%

Solution Description

Rhein Manufacturing recorded operating data for its auto accessories division for the year.
Sales $750,000
Contribution margin 150,000
Total dire