The profit margin for Division C is 6%, and the investment turnover is 1.2. The return on investment for Division B is

A) 20%
B) 6.7%
C) 7.3%
D) 7.2%

Investment Turnover

A financial ratio that measures the efficiency of a company's use of its investments in generating sales revenue.

Return on Investment

A performance measure used to evaluate the efficiency or profitability of an investment, calculated as the net profit divided by the cost of the investment.

Profit Margin

The ratio of net income to revenue, indicating how much profit is made on average from sales.