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Adrenaline Sports Company makes snowboards, downhill skis, cross-country skis, skateboards, surfboards, and in-line skates. The company has found it beneficial to split operations into two

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Adrenaline Sports Company makes snowboards, downhill skis, cross-country skis, skateboards, surfboards, and in-line skates. The company has found it beneficial to split operations into two divisions based on the climate required for the sport: Snow Sports and Non-Snow Sports. The following divisional information is available for the past year: (Click the icon to view the information.) Read the requirements. 1. Compute each division's sales margin. Interpret your results. First enter the formula, then calculate each divisions sales margin. (Enter the sales margin as a percent rounded to the nearest whole percent.) Operating income Sales Sales margin Snow Sports % Requirements 1. Compute each division's sales margin. Interpret your results. 2. Compute each division's capital turnover (round to two decimal places). Interpret your results. 3. Use your answers to Question 2 along with your answers to Question 1 to recalculate ROI using the expanded formula. Do your answers agree to the ROI calculations using the original formula and presented in the divisional information? Print Done i Data Table Total Assets Current Liabilities ROI Snow Sports Sales Operating Income $ 5,500,000 $ 1,045,000 $ $ 8,700,000 $ 1,653,000 $ 4,400,000 $ 420,000 23.8% Non-Snow Sports 2,900,000 $ 645,000 57.0% Adrenaline's management has specified a target 14% rate of return. Print Done

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