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I need help doing the step, I keep getting it wrong. For its three investment centers, Gerrard Company accumulates the following data: I II III
I need help doing the step, I keep getting it wrong.
For its three investment centers, Gerrard Company accumulates the following data: I II III Sales Controllable margin Average operating assets $2,090,000 1,463,000 4,949,000 $3,943,000 1,971,500 8,073,000 $4,079,000 3,671,100 12,147,000 The centers expect the following changes in the next year: (1) increase sales 10%; (II) decrease costs $384,000; (III) decrease average operating assets $545,000. Compute the expected return on investment (ROI) for each center. Assume center I has a controllable margin percentage of 70%. (Round ROI to 1 decimal place, e.g. 1.5%.) | III III The expected return on investment % % %Step by Step Solution
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