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ABD is a software company that develops games for popular mobile devices. Selected data for two of their most successful apps (Time Wasters 4 and

ABD is a software company that develops games for popular mobile devices. Selected data for two of their most successful apps (Time Wasters 4 and Dilly Dally - The Return) are listed below.

Time Wasters 4 Dilly Dally - The Return Total
Sales $25,000,000 $43,000,000 $68,000,000
Operating Income $1,200,000 $2,600,000 $3,800,000
Average Operating Assets $3,000,000 $4,500,000 $7,500,000
Required Rate of Return 22% 22%

For both complete the following:

  1. The Margin
  2. The Turnover
  3. The Return on Investment
  4. The Residual Income

Provide comparative interpretation for each variable.

For example if The Margin for Time Wasters is 10%, and for Dilly Dally is 12.5%, provide interpretation of what that means for the company.

Show full working, and round the final answers to 2 decimal points correctly.

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