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Brief Exercise 24-10 For its three investment centers, Gerrard Company accumulates the following data: Sales Controllable margin Average operating assets $1,980,000 $3,916,000 $4,041,000 1,169,320 2,150,280

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Brief Exercise 24-10 For its three investment centers, Gerrard Company accumulates the following data: Sales Controllable margin Average operating assets $1,980,000 $3,916,000 $4,041,000 1,169,320 2,150,280 4,597,620 5,084,000 7,964,000 12,099,000 The centers expect the following changes in the next year: (1) increase sales 20%; (II) decrease costs s390 000; 111 decrease average operating assets $496,000 Compute the expected return on investment (ROI) for each center. Assume center I has a controllable margin percentage of 70%. (Round Ror to 1 decimal place, 1.5.) The expected return on investment Brief Exercise 24-10 For its three investment centers, Gerrard Company accumulates the following data: Sales Controllable margin Average operating assets $1,980,000 $3,916,000 $4,041,000 1,169,320 2,150,280 4,597,620 5,084,000 7,964,000 12,099,000 The centers expect the following changes in the next year: (1) increase sales 20%; (II) decrease costs s390 000; 111 decrease average operating assets $496,000 Compute the expected return on investment (ROI) for each center. Assume center I has a controllable margin percentage of 70%. (Round Ror to 1 decimal place, 1.5.) The expected return on investment

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