1)

Exercise 10-1 Compute the Return on Investment (ROI) [LO10-1]

Alyeska Services Company, a division of a major oil company, provides various services to the operators of the North Slope oil field in Alaska. Data concerning the most recent year appear below:

Sales	$	7,500,000
Net operating income	$	600,000
Average operating assets	$	5,000,000

Required:

1. Compute the margin for Alyeska Services Company.

2. Compute the turnover for Alyeska Services Company. (Round your answer to 1 decimal place.)

3. Compute the return on investment (ROI) for Alyeska Services Company. (Do not round intermediate calculations.)

2)

Required information

Chapter 10: Applying Excel [LO10-1, LO10-2]

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The Chapter 10 Form worksheet is to be used to create your own worksheet version of the Review Problem example in the text.

Chapter 10: Applying Excel: Exercise (Part 2 of 2)

Requirement 2:

Revise the data in your worksheet as follows:

If your formulas are correct, you should get the correct answers to the following questions.

a. What is the ROI?

b. What is the residual income? (Negative amount should be indicated by a minus sign.)

c. Why is the residual income negative?