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Helton Corporations balance sheet indicates that the company has $240,000 invested in operating assets. During 2014, Helton earned operating income of $59,000 on $456,000 of

Helton Corporations balance sheet indicates that the company has $240,000 invested in operating assets. During 2014, Helton earned operating income of $59,000 on $456,000 of sales.

Required:
a.

Compute Heltons profit margin for 2014. (Round your answer to 2 decimal places. (i.e., .2345 should be entered as 23.45).)

b. Compute Heltons turnover for 2014. (Round your answer to 2 decimal places.)

c.

Compute Heltons return on investment for 2014. (Round your intermediate calculations to two decimal places. Round your answer to 2 decimal places. (i.e., .2345 should be entered as 23.45).)

d.

Recompute Heltons ROI under each of the following independent assumptions. (Do not round intermediate calculations.Round your answers to 2 decimal places. (i.e., .2345 should be entered as 23.45).)

(1)

Sales increase from $456,000 to $646,000, thereby resulting in an increase in operating income from $59,000 to $78,000.

(2)

Sales remain constant, but Helton reduces expenses, resulting in an increase in operating income from $59,000 to $66,000.

(3)

Helton is able to reduce its invested capital from $240,000 to $174,000 without affecting operating income.

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