Answer:
A : controllable margin is divided by average investment center operating assets
Explanation:
The formula to compute the return on investment (ROI) is shown below:
Return on investment = (Return / Net income) ÷ (cost of investment)
In this given situation, the most appropriate option is A as a controllable margin means contribution margin - controllable fixed cost which is divided by the average investment
This contribution margin - controllable fixed cost = Net income
