Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Albany Company calculated its return on investment as 10 percent Sales are row $300,000. and the amount of total operating assets is $480,000. a. If

image text in transcribed

Albany Company calculated its return on investment as 10 percent Sales are row $300,000. and the amount of total operating assets is $480,000. a. If expenses are reduced by $30,000 and sales remain unchanged, what return on investment will result? (Round your answer to 2 decimal places, (i.e., .2345 should be entered as 23.45).) Return on investment b. If both sales and expenses cannot be changed, what change in the amount of operating assets is required to achieve the same result? (Do not round intermediate calculations. Round your final answer to the nearest whole dollar amount.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Public Sector Accounting Auditing And Control In South Eastern Europe

Authors: Vesna Vašiček, Gorana Roje

1st Edition

303003352X, 978-3030033521

More Books

Students also viewed these Accounting questions