Question
Illy company has the following operating data for the past 2 years: Year 1 Year 2 Residual Income $600 ? Return on Investment 10% 87.5%
Illy company has the following operating data for the past 2 years:
| Year 1 | Year 2 | |
| Residual Income | $600 | ? |
| Return on Investment | 10% | 87.5% |
| Required Rate of return | 8% | 9% |
| Average operating assets | ? | $42,000 |
Sales in year 1 is $70,000 less than sales in year 2.
The Company had the same capital turnover in both years.
Q.: What is the sales margin in Year 2? Use two decimal places in the answer (for example, if the answer is 95%, key in "0.95").
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Auditing Warehouse Performance
Authors: Kenneth B. Ackerman
1st Edition
0963177680, 978-0963177681
