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The following information pertains to Quest Co.'s Gold Division for 1993:
Quest's return on investment was:
Suggested Answer: C
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Choice 'c' is correct. Return on investment equals net income divided by average invested capital:
Choices 'a', 'b', and 'd' are incorrect, per the above calculation.
18 comments · newest first
AV
Avery
10 months ago
Quest's Gold Division had a solid year in '93!
JE
Jerrod
11 months ago
Really? 27.50 percent seems a bit off to me.
LA
Laurel
11 months ago
I calculated it as 13.33 percent.
CH
Cherilyn
11 months ago
Definitely not, it's way too high!
CA
Cassie
11 months ago
I think the ROI was 30.00 percent.
NA
Nathalie
12 months ago
I think the ROI should be calculated by dividing net income by total investment. I’m stuck between A and B, though.
LY
Lynda
12 months ago
I feel like I’ve seen a question with a similar setup before. I’m leaning towards D, but I’m not completely confident.
VE
Venita
12 months ago
This question seems similar to one we practiced about calculating returns. I think it’s either B or C, but I can’t recall the exact numbers.
AR
Arlie
1 year ago
I remember we calculated ROI in class, but I’m not sure if I got the formula right for this one.
TR
Tricia
1 year ago
No problem, I've got this. I know the ROI formula like the back of my hand. Just a quick calculation and I'll have the right answer.
CR
Crista
1 year ago
Whoa, this is a lot of information to process. I better take my time and make sure I understand exactly what I'm being asked to do here. Can't afford to rush through this one.
ME
Merlyn
1 year ago
Alright, time to put my financial analysis skills to the test. I've got the data I need, so I just need to plug it into the ROI equation and see which answer choice matches.
ST
Stanton
1 year ago
Hmm, this looks like a straightforward calculation, but I want to make sure I'm not missing anything. I'll double-check the numbers and the formula to be confident in my answer.
JO
Johnetta
1 year ago
Okay, let me think this through. The question is asking for Quest's return on investment, and the information provided includes revenue, expenses, and assets. I'll need to calculate the ROI using the formula.
AD
Adolph
1 year ago
The Deming cycle is a great tool for improving processes, so I agree that option A is the way to go. It's all about the plan-do-check-act approach.
GA
Gary
1 year ago
I think up to date security protection is definitely one of the main factors, but I'm not sure about the second one.
DY
Dyan
1 year ago
EXT and NTFS are the obvious choices here. They can handle large file sizes and are commonly used for enterprise storage.
SA
Salley
1 year ago
I'm a bit unsure about this one. The question is asking if the underlined text is correct, but I'm not entirely sure what the difference is between "zone replication" and the other options. I'll have to think this through carefully.