Answered step by step
Verified Expert Solution
Question
1 Approved Answer
7. value: 1.50 points Required information 2. The entrepreneur who founded the company is convinced that sales will increase next year by 120% and that
7. value: 1.50 points Required information 2. The entrepreneur who founded the company is convinced that sales will increase next year by 120% and that net operating income will increase by 340%, with no increase in average operating assets. What would be the company's 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 Required Information The following information applies to the questions displayed below.) CommercialServices.com Corporation provides business-to-business services on the Internet. Data concerning the most recent year appear below: References eBook & Resources Sales Worksheet Difficulty: 2 Medium hanges in sales, expenses, and assets affect Net operating Income Average operating assets 21,600,000 1,749,600 4.800,000 Check my work value 8. Required information 1.50 points .50 points 3. The Chief Financial Officer of the company believes a more realistic scenario would be a $5,000,000 increase in sales, requiring a $1,850,000 increase in average operating assets, with a resulting $1,043,400 increase in net operating income. What would be the company's ROI in this scenario? (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).) 10.50% Margin Turnover ROI
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started