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Net income and Return assets

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Shiloh Networking is considering expansion into a new product line. Assets to support expansion will cost $500,000. It is estimated that Shiloh can generate $1,200,000 in annual sales, with a 6 percent profit margin. What would net income and return on assets (investment) be for the year?

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Solution Summary

The solution explains how to calculate the net income and the return on assets for Shiloh Networking

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