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Exercise 1 1 - 1 1 ( Algo ) Cost - Volume - Profit Analysis and Return on Investment ( ROI ) [ LO 1
Exercise Algo CostVolumeProfit Analysis and Return on Investment ROILO
Posters.com is an Internet retailer of highquality posters. The company has $ in operating assets and fixed expenses of $ per year. With this level of operating assets and fixed expenses, the company can support sales of up to $ pe year. The company's contribution margin ratio is which means an additional dollar of sales results in additional contribution margin, and net operating income, of cents.
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Complete the following table showing the relation between sales and return on investment ROI
What happens to the company's return on investment ROI as sales increase?
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Complete the following table showing the relation between sales and return on investment ROI
Note: Round your percentage answers to decimal places.
tabletableNet OperatingIncometableAverageOperatingAssetsROI $$$$$$$$$$$$$
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