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Given the following information for the Reardon Division: Asset base $500,000 Sales Revenues $725,000 Expenses $662,500 Required: If required, round your answers to four decimal

Given the following information for the Reardon Division:

Asset base $500,000
Sales Revenues $725,000
Expenses $662,500

Required:

If required, round your answers to four decimal places.

A. What are the margin, turnover, and ROI for Reardon Division?

Margin
Turnover
ROI

B. Reardon has an option to make an additional investment that would add $100,000 to the asset base. It would generate an additional $50,000 in sales revenue and no additional expenses. What would be the effect on margin, turnover and ROI?

Margin
Turnover
ROI

C. Another option (independent of alternative B) for Reardon is to run an advertising campaign that would require additional advertising expenses of $37,500, but the best estimate is the campaign would generate an additional $75,000 of revenue. What would be the effect on margin, turnover and ROI?

Margin
Turnover
ROI

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