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

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Tamesha

9 days ago

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

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Pamella

10 days ago

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

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27 days 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.

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Felix

7 days ago

Yeah, 13.33 percent seems like the most logical choice.

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Arlene

10 days ago

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

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Serina

11 days ago

I agree, that seems to be the correct answer.

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Lamonica

13 days ago

I think it's 13.33 percent too.

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Ryan

30 days ago

I think the answer is B) 13.33 percent.

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