CANADA WEST

$6.$ Niceville Company had sales of $$500,000,$ variable costs of $$150,000,$ and direct fixed costs totalling $$220,000.$ The company's operating assets total $$820,000$ its required return is $15\%.$

The owner of the company asked you what is the company performance based ompany's return on investment and residual income? $($show your calculation$)$ arks$)(4$ marks$)$

owner asked you to identify and recommend $2$ valid suggestions for improving return on ivestment $(4$ marks$)$