E10-6 (Algo) Calculating Return on Investment, Residual Income, Determining Effect of Changes in Sales, Expenses, Invested Assets, Hurdle Rate on Each [LO 10-4, 10-5] Solano Company has sales of $680,000, cost of goods sold of $460,000, other operating expenses of $52,000, average invested assets of $2,050,000, and a hurdle rate of 9 percent. Required: 1. Determine Solano's retum on investment (ROI), investment turnover, profit margin, and residual income. 2. Several possible changes that Solano could face in the upcoming year follow. Determine each scenario's impact on Solano's ROI and residual income. (Note Treat each scenario independently) a. Company sales and cost of goods sold increase by 40 percent. b. Operating expenses decrease by $10,000 c. Operating expenses increase by 20 percent d. Average invested assets increase by $390,000 e. Solano changes its hurdle rate to 15 percent. Complete this question by entering your answers in the tabs below. Determine Solano's return on investment (ROI), investment turnover, profit margin, and residual income. Note: Loss amounts should be indicated with a minus sign. Do not round your intermediate calculations. Enter your ROI and Profit Margin percentage answer to the nearest 2 decimal places, (1.e., 0.1234 should be entered as 12.34% ). Round your Thvestment Tumover answer to 4 decimal places. E10-6 (Algo) Calculating Return on Investment, Residual Income, Determining Effect of Changes in Sales, Expenses, Invested Assets, Hurdle Rate on Each [LO 10-4, 10-5] Solano Company has sales of $680,000, cost of goods sold of $460,000, other operating expenses of $52,000, average invested assets of $2,050,000, and a hurdle rate of 9 percent. Required: 1. Determine Solano's return on investment (ROI), investment turnover, profit margin, and residual income 2. Several possible changes that Solano could face in the upcoming year follow Determine each scenario's impact on Solano's ROI and residual income (Note: Treat each scenario independently) a. Company sales and cost of goods sold increase by 40 percent b. Operating expenses decrease by $10,000 c. Operating expenses increase by 20 percent d. Average invested assets increase by $390,000 e. Solano changes its hurdle rate to 15 percent Complete this question by entering ysur answers in the tabs below. Several possible changes that Solano could face in the upcoming year follow. Determine coch scenario's impact on Solano's ROI and residual income. (Note: Treat each scenario independently.) Company sales and cost of goods sold increase by 40 percent. Note: Loss amounts should be indicated with a inimus sign. Enter your ROI percentage answer to 2 decimal plaches, (1.e. 0.1234 sivould be entered as 12.34% ) E10-6 (Algo) Calculating Return on Investment, Residual Income, Determining Effect of Changes in Sales, Expenses, Invested Assets, Hurdle Rate on Each [LO 10-4, 10-5] Solono Company has sales of $680,000, cost of goods sold of $460,000, other operating expenses of $52.000, average invested assets of $2,050,000, and a hurdle rate of 9 percent Required: 1. Determine Solano's return on investment (ROI), investment turnover, profit margin, and residual income 2. Several possible changes that Solano could face in the upcoming year follow. Determine each scenario's impact on Solano's ROI and residual income. (Note: Treat each scenario independently) a. Company sales and cost of goods sold increase by 40 percent b. Operating expenses decrease by $10,000 c. Operating expenses increase by 20 percent. d. Average invested assets increase by $390,000 e. Solano changes its hurdle rate to 15 percent. Complete this question by entering your answers in the tabs below. Several possible changes that Solano could face in the upcoming year follow, Determine each scerario's impact or Solano? ROI and residual incorne. (Note: Treat each scenario independently.) Operating expenses decrease by $10,000. 0.1234 stould be entered as 12.34%.) E10-6 (Algo) Calculating Return on Investment, Residual Income, Determining Effect of Changes in Sales, Expenses, Invested Assets, Hurdle Rate on Each [LO 10-4, 10-5] Solano Company has sales of $680,000, cost of goods sold of $460,000, other operating expenses of $52,000, average invested assets of $2.050,000, and a hurdle rate of 9 percent. Required: 1. Determine Solano's return on investment (RO), investment turnover, profit margin, and residual income 2. Severat possible changes that Solano could face in the upcoming year follow. Determine each scenario's impact on Solano's ROI and residual income. (Note: Treat each scenario independently) a. Company sales and cost of goods sold increase by 40 percent b. Operating expenses decrease by $10.000. c. Operating expenses increase by 20 percent d. Average invested assets increase by $390,000 e. Solano changes its hurdle rate to 15 percent Complete this question by entering your answers in the tabs below. Several possible changes that Solano could face in the upcoming year follow. Determine each scenario's impact on Solano's ROI and residual income. (Note: Treat each scenarlo independently) Operating expenses increase by 20 percent. Note: Loss amounts should be indicated with a minus sign. Enter your ROI percentage answer to 2 decimal places, (L.e., 0.1234 should be entered as 12.3446 . E10-6 (Algo) Calculating Return on Investment, Residual Income, Determining Effect of Changes in Sales, Expenses, Invested Assets, Hurdle Rate on Each [LO 10-4, 10-5] Solano Company has sales of $680,000. cost of goods sold of $460,000. other operating expenses of $52,000, average invested assets of $2.050,000, and a hurdle rate of 9 percent. Required: 1. Determine Solano's return on investment (RO), Investment turnover, profit margin, and residual income 2. Several possible changes that Solano could face in the upcoming year follow. Determine each scenario's impact on Solano's ROI and residual income. (Note. Treat each scenario independently) a. Company sales and cost of goods sold increase by 40 percent. b. Operoting expenses decrease by $10,000 c. Operating expenses increase by 20 percent d. Average invested assets increase by $390,000 e. Solano changes its hurdle rate to 15 percent. Complete this question by entering your answers in the tabs below. Siveral possible changes that Solano covild face in the upcoming year follow. Determine each scenario's impact on Solano's ROI and residual income. (Note: Treat each scenario independently.) Average invested assets increase by $390,000. Note: Loss amounts should be indicated with a minus slgn. Enter your Ror percentage answer to 2 decimal places, (i.e. 0.1234 shoutd be entered as 12.34% ) Sales, Expenses, Invested Assets, Hurdle Rate on Each [LO 10-4, 10-5] Solano Company has sales of $680,000, cost of goods sold of $460,000, other operating expenses of $52,000, average invested assets of $2.050,000, and a hurdle rate of 9 percent Required: 1. Determine Solano 's return on investment (ROI), investment turnover, profit margin, and residual income. 2. Several possible changes that Solano could face in the upcoming year follow. Determine each scenario's impact on Solano's ROI and residual income. (Note: Treat each scenario independently) a. Company sales and cost of goods sold increase by 40 percent. b. Operating expenses decrease by $10,000. c. Operating expenses increase by 20 percent. d. Average invested assets increase by $390,000 e. Solano changes its hurdle rate to 15 percent Complete this question by entering your answers in the tabs below. Several possible changes that Solano could face in the upcoming year follow. Determine each scenario's impact on Solano's ROI and residual income. (Note: Treat each scenario independently.) Solano changes its hurdle rate to 15 percent. Note: Loss amounts should be indicated with a minus sign. Enter your Rol percentage answer to 2 decimal places, (1.e. 0.1234 sfioud be entered as 12.34%.)