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For its three investment centers, Gerrard Company accumulates the following data Sales Controllable margin Average operating assets 4,997,000 7,999,000 12,076,000 $2,050,000 $4,076,000 $4,041,000 1,435,000 2,038,000
For its three investment centers, Gerrard Company accumulates the following data Sales Controllable margin Average operating assets 4,997,000 7,999,000 12,076,000 $2,050,000 $4,076,000 $4,041,000 1,435,000 2,038,000 3,636,900 The centers expect the following changes in the next year: (1) increase sales 20%; (II) decrease costs $409,000; (III) decrease average operating assets $492,000. Compute the expected return on investment (ROI) for each center. Assume center l has a controllable margin percentage of 70%. (Round ROI to 1 decimal place, eg. 1.5%) The expected return on investment
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