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DiVision Q's currentturnover is t2 0 and its return on sales ratio is t2 The division is conSidering a sales promotion thatwould increase its current
DiVision Q's currentturnover is t2 0 and its return on sales ratio is t2 The division is conSidering a sales promotion thatwould increase its current return on sales ratio by 10% butdecrease its turnover by t0% Requirements (21) It the dwision undertakes this promotion' by what percentage would the return on investment Increase or decrease? (b) ltthe dwision undertakesthis promotion' by what percentage Will the return on sales ratio need to increase in orderforthe return on investmentto Increase by 5%? Requirement (a) ltthe diVision undertakes this promotion' by what percentage would the return on investment increase or decrease? Begin by selecting the labels forthe return on investment formula and calculate the return on investment it the promotion is undertaken (Enterall amounts to two deCimal places XXX and round the return on investment to three decimal places X XXX ) x : Return on investment x : Now calculate the percentage by which the return on investment increased or decreased, (Do not round until your final answer then round the percentage change to two decimal places XXX'Vn Use a minus sign or parentheses fora decrease) ltDiViSion Q undertakes this promotion: the return on investment Will change by % Requirementth} It the diVIsion undertakes this promotion. by what percentage Will the return on sales ratio need to increase in order torthe return on investment to increase by 5%? (Do not round until yourtinal answer then round the percentage increase to two deCintal places X.XX%.'> The return on sales ratio Will need to increase by \"a in order tor the return on investment to increase by 5%
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