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A company reports the following information: Operating assets: Beginning Balance Ending Balance cash $340,000 $396,000 accounts receivable $148,000 $123,500 inventory $376,000 $325,000 plant and equipment
A company reports the following information:
Operating assets:
Beginning Balance | Ending Balance | |
cash | $340,000 | $396,000 |
accounts receivable | $148,000 | $123,500 |
inventory | $376,000 | $325,000 |
plant and equipment (net) | $555,000 | $584,000 |
sales= $3,225,000
net operating income= $615,000
minimum required rate of return =20%
a)calculate margin (if necessary, round % to 2 decimal places)
b)calculate turnover (if necessary, round % to 2 decimal places)
c) calculate ROI
d) calculate Residual Income
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