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Exercise 1 1 - 1 1 ( Algo ) Cost - Volume - Profit Analysis and Return on Investment ( ROI ) [ LO 1

Exercise 11-11(Algo) Cost-Volume-Profit Analysis and Return on Investment (ROI)[LO11-1]Exercise 11-11(Algo) Cost-Volume-Profit Analysis and Return on Investment (ROI)[LO11-1]
Posters.com is a small Internet retaller of high-quality posters. The company has $810,000 in operating assets and fixed
expenses of $155,000 per year. With this level of operating assets and fixed expenses, the company can support sales
of up to $5,300,000 per year. The company's contribution margin ratio is 12%, which means that an additional dollar of
sales results in additional contribution margin, and net operating income, of 12 cents.
Requlred:
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?
Complete this question by entering your answers in the tabs below.
Complete the following table showing the relation between sales and return on investment (ROI).(Round your percentage
answers to 2 decimal places.)
Posters.com is a small Internet retaller of high-quality posters. The company has $810,000 in operating assets and fixed
expenses of $155,000 per year. With this level of operating assets and fixed expenses, the company can support sales
of up to $5,300,000 per year. The company's contribution margin ratio is 12%, which means that an additional dollar of
sales results in additional contribution margin, and net operating income, of 12 cents.
Required:
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?
Complete this question by entering your answers in the tabs below.
Required 1
Complete the following table showing the relation between sales and return on investment (ROI).(Round your percentage
answers to 2 decimal places.)
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