Question
i need help answering the questions below 1. Carter Company reported the following financial numbers for one of its divisions for the year; average total
i need help answering the questions below
1. Carter Company reported the following financial numbers for one of its divisions for the year; average total assets of $4,270,000; sales of $4,695,000; cost of goods sold of $2,720,000; and operating expenses of $1,542,000. Assume a target income of 8% of average invested assets. Compute residual income for the division:
2. Carter Company reported the following financial numbers for one of its divisions for the year; average total assets of $4,150,000; sales of $4,575,000; cost of goods sold of $2,600,000; and operating expenses of $1,422,000. Compute the division's return on investment:
3.
Two investment centers at Marshman Corporation have the following current-year income and asset data:
Investment Center A | Investment Center B | |||||
Investment center income | $ | 480,000 | $ | 606,100 | ||
Investment center average invested assets | $ | 2,540,000 | $ | 2,090,000 | ||
The return on investment (ROI) for Investment Center B is:
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