Question
Calculate ROI bonus Example 1 Base Facts Branch A Branch B Profit before taxes $250,000 $1,000,000 Investment $5,000,000 $5,000,000 ROI ?? ?? ROI Bonus ??
Calculate ROI bonus
| Example 1 | ||
| Base Facts | Branch A | Branch B |
| Profit before taxes | $250,000 | $1,000,000 |
| Investment | $5,000,000 | $5,000,000 |
| ROI | ?? | ?? |
| ROI Bonus | ?? | ?? |
| New investment opportunity to invest $1,000,000 to earn $100,000 per year | ||
| Example 2 | ||
| Base Facts | Branch C | Branch D |
| Profit before taxes | $250,000 | $1,250,000 |
| Investment | $2,500,000 | $12,500,000 |
| ROI | ?? | ?? |
| ROI Bonus | ?? | ?? |
| New investment opportunity to invest $1,000,000 to earn $200,000 per year | ||
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Cost Management A Strategic Emphasis
Authors: Edward Blocher, David Stout, Paul Juras, Gary Cokins
7th edition
77733770, 978-0077733773
