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Capital investment $ 500 000, cost of capital 15%. RI= $90 000. ROI?
A) 15%
B) 33%
C) 18%
D) 3%
There I find profit 90 000+(500 000×15%)= 165 000
ROI= 165 000/500 000= 33%
But there we use capital investment instead net assets ? In formula ROI= profit/ net assets
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