What will happen to the return on investment Stom Division

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Question - The current controllable margin for Stom Division is $124,000. Its current operating assets are $400,000. The division is considering purchasing equipment for $120,000 that will increase annual controllable margin by an estimated $20,000. If the equipment is purchased, what will happen to the return on investment Stom Division?

Reference no: EM132730615

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