# The Consumer Products Division of Weiter Corporation had average operating assets of $570,000 and... ## Question: The Consumer Products Division of Weiter Corporation had average operating assets of$570,000 and net operating income of $65,100 in March. The minimum required rate of return for performance evaluation purposes is 12%. What was the Consumer Products Division's minimum required return in March? a)$76,212

b) $65,100 c)$68,400

d) $7,812 ## Required Rate of Return: The required rate of return shows the amount of return earned by the investor for every$1 of investment made. This minimum required return is the amount of income needed so that the investor is willing to invest.

Let us compute the minimum required return. The formula is:

• Minimum required return = Average operating assets x Minimum required rate of return
• Minimum required return = $570,000 x 12% =$68,400

The minimum required return is c) \$68,400.