AICPA Exam CPA-Business Topic 2 Question 102 Discussion

Actual exam question for AICPA's CPA-Business exam

Question #: 102
Topic #: 2

[All CPA-Business Questions]

The following information pertains to Quest Co.'s Gold Division for 1993:

Quest's return on investment was:

A10.00 percent.

B13.33 percent.

C27.50 percent.

D30.00 percent.

Show Suggested Answer

Suggested Answer: C

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.

by Louann at Oct 19, 2024, 03:35 PM

Limited Time Offer

25%

Off

Get Premium CPA-Business Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Arlene

3 months ago

Okay, time to channel my inner accountant. I'm gonna go with B) 13.33% - it's the only one that makes sense mathematically.

upvoted 0 times

Stephanie

2 months ago

I'm not sure, but I'll go with the majority and choose B) 13.33 percent.

upvoted 0 times

...

Tonette

2 months ago

I agree, the math adds up for B) 13.33 percent.

upvoted 0 times

...

Brendan

3 months ago

I think you're right, B) 13.33 percent does seem like the most logical choice.

upvoted 0 times

...

Tamesha

4 months ago

Haha, this question is a piece of cake! B) 13.33% is clearly the right answer. I could do this in my sleep!

upvoted 0 times

...

Pamella

4 months ago

Wait, wait, wait... is this a trick question? I'm gonna overthink this and say D) 30.00% just to be safe.

upvoted 0 times

Leonor

3 months ago

I agree with you, D) 30.00 percent seems like the safe choice.

upvoted 0 times

...

Malcom

3 months ago

I'm going with C) 27.50 percent.

upvoted 0 times

...

Aliza

3 months ago

I think it's B) 13.33 percent.

upvoted 0 times

...

Margo

4 months ago

Ugh, these accounting questions always make my head spin. But I'm gonna go with C) 27.50% - it just feels right, you know?

upvoted 0 times

Malinda

3 months ago

Let's go with C) 27.50% then, it's worth a shot.

upvoted 0 times

...

Marci

3 months ago

I agree, C) 27.50% seems like the best choice.

upvoted 0 times

...

Theron

3 months ago

I'm not sure, but I'm leaning towards D) 30.00%.

upvoted 0 times

...

Samira

4 months ago

I think you might be onto something with C) 27.50%.

upvoted 0 times

...

Tomas

4 months ago

I agree with Ryan, the return on investment seems to be around 13.33 percent based on the information provided.

upvoted 0 times

...

Ashley

4 months ago

Hmm, let's see... 13.33% seems like the right answer to me. It's the only one that makes sense based on the information provided.

upvoted 0 times

Felix

4 months ago

Yeah, 13.33 percent seems like the most logical choice.

upvoted 0 times

...

Arlene

4 months ago

I'm not sure, but 13.33 percent does make sense.

upvoted 0 times

...

Serina

4 months ago

I agree, that seems to be the correct answer.

upvoted 0 times

...

Lamonica

4 months ago

I think it's 13.33 percent too.

upvoted 0 times

...

Ryan

4 months ago

I think the answer is B) 13.33 percent.

upvoted 0 times

...