Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

can you do it with excel? 3. Commercial Services.com Corporation provides business-to-business services on the Internet. Data concerning the most recent year appear below: Sales.

image text in transcribed
can you do it with excel?
3. Commercial Services.com Corporation provides business-to-business services on the Internet. Data concerning the most recent year appear below: Sales. $3,000,000 Net operating income $ 150,000 Average operating assets. $750,000 Required: Consider each question below independently. Carry out all computations to two decimal places. Compute the company's return on investment (ROI). The entrepreneur who founded the company is convinced that sales will increase next year by 50% and that net operating income will increase by 200%, with no increase in average operating assets. What would be the company's ROI? The chief financial officer of the company believes a more realistic scenario would be a $1,000,000 increase in sales, requiring a $250,000 increase in average operating assets, with a resulting $200,000 increase in net operating income. What would be the company's ROI in this scenario

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_2

Step: 3

blur-text-image_3

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

Ebook Principles Of Financial Accounting

Authors: John Wild, Ken Shaw, Barbara Chiappetta

2nd Edition

0077166183, 9780077166182

Students also viewed these Accounting questions

Question

Explain the employee benefits that are required by law.

Answered: 1 week ago

Question

List the types of incentive plans.

Answered: 1 week ago