During the past year, Simpson Corporation had a net income of $200,000. Net sales were $1,600,000 and

Question:

During the past year, Simpson had a net income of $200,000. Net sales were $1,600,000 and total capital employed was $1,000,000.
Required:
Compute the following:
(1) Capital-employed turnover rate
(2) Percentage of profit to sales
(3) Rate of return on capital employed
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...