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Maizy Enterprises has a target rate of return of​ 11%, an ROI of​ 90%, and capital turnover of 4.5. The sales margin for Maizy Enterprises may be closest to

2%

50%

20%

405%

Respuesta :

hyderali230

Answer:

20%

Explanation:

The amount of profit earned from the sales is known as sales margin. It is the profit at the sales level of a single transaction.

We already have the value of ROI, we need to calculate the the sales margin value using this formula.

Return On Capital Investment = Sales Margin x Capital Turnover

90% = Sales Margin x 4.5

0.9 = Sales Margin x 4.5

Sales Margin = 0.9 / 4.5 = 0.2

Sales Margin = 20%

The sales margin for Maizy Enterprises should be considered as the 20% It should be expressed in the percentage forms.

Calculation of the sales margin

Since we know that

Return On Capital Investment = Sales Margin x Capital Turnover

here,

Return On Capital Investment os 90%

And, the capital turnover is 4.5

So,

90% = Sales Margin x 4.5

0.9 = Sales Margin x 4.5

Sales Margin = 0.9 / 4.5 = 0.2

Sales Margin = 20%

hence, The  sales margin for Maizy Enterprises  should be considered as the 20%

Learn more about sales here: https://brainly.com/question/20115597