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17 ! Part 1 of 4 Required information [The following information applies to the questions displayed below) Fitness Fanatics is a regional chain of health
17 ! Part 1 of 4 Required information [The following information applies to the questions displayed below) Fitness Fanatics is a regional chain of health clubs. The managers of the clubs, who have authority to make investments as needed, are evaluated based largely on return on investment (ROI). The company's Springfield Club reported the following results for the past year: eBook Print Sales Net operating income Average operating assets $880,000 $ 29,040 $ 100,000 Required: 1. Compute the Springfield club's return on investment (ROI). (Round your Turnover answer to 2 decimal places. Round your Margin and ROI percentage answers to 2 decimal places (i.e., 0.1234 should be entered as 12.34).) Margin Turnover ROI % 18 ! Part 2 of 4 Required information [The following information applies to the questions displayed below.) Fitness Fanatics is a regional chain of health clubs. The managers of the clubs, who have authority to make investments as needed, are evaluated based fargely on return on investment (ROI). The company's Springfield Club reported the following results for the past year eBook Print Sales Net operating income Average operating assets $880,000 $ 29,040 $ 100,000 2. Assume that the manager of the club is able to increase sales by $88,000 and that, as a result, net operating income increases by $7744 Further assume that this is possible without any increase in operating assets. What would be the club's return on investment (RO)? (Round your Turnover answer to 2 decimal places. Round your Margin and ROI percentage answers to 2 decimal places (... 0.1234 should be entered os 12.34).) Margin Turnover ROI % 19 Required information [The following information applies to the questions displayed below) Part 3 of 4 Fitness Fanatics is a regional chain of health clubs. The managers of the clubs, who have authority to make investments as needed, are evaluated based largely on return on investment (ROI). The company's Springfield Club reported the following results for the past year eBook Print Sales Net operating income Average operating assets $880,000 $ 29,040 $ 100,000 3. Assume that the manager of the club is able to reduce expenses by $3,520 without any change in sales or operating assets. What would be the club's return on investment (RON)? (Round your Turnover answer to 2 decimal places. Round your Margin and ROI percentage onswers to 2 decimal places (ie, 01234 should be entered as 12.34).) Margin Turnover ROI %
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