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4 10 DO Solano Company has sales of $740,000, cost of goods sold of $490,000, other operating expenses of $46,000, average invested assets of $2,200,000,

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4 10 DO Solano Company has sales of $740,000, cost of goods sold of $490,000, other operating expenses of $46,000, average invested assets of $2,200,000, and a hurdle rate of 10 percent Required: 1. Determine Solano's return on investment (RO. Investment turnover, profit margin, and residunt income. 2. Severnl possible changes that Solano could face in the upcoming year follow. Determine cach scenario's impact on Solano's ROI and residual income. (Noter Treat each scenario Independently) a. Company sales and cost of goods sold increase by 30 percent b. Operating expenses decrease by $10,000, c. Operating expenses increase by 10 percent d. Average invested assets increase by $420,000 e. Solano changes its hurdle rate to 16 percent Complete this question by entering your answers in the tabs below. MGA R20 R20 R21 Determine Solano's return on investment (ROI), investment turnover, profit margin, and residual income (Loss amounts should be indicated with a minus on. Do not round your intermediate calculations Enter your hot and Pront Margin percentage answer to the nearest 2 decimal places. 0.1234 should be entered as 12344) Round your investment Turnover answer to decimal places) Ratum on investment Investment Tumov Pro Mar

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