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Inc. reported the following results from last year's operations: Sales $15,000,000 Contribution margin ratio 25% Fixed expenses $3,000,000 Average operating assets $5,000,000 Average operating liabilities
Inc. reported the following results from last year's operations:
| Sales | $15,000,000 |
| Contribution margin ratio | 25% |
| Fixed expenses | $3,000,000 |
| Average operating assets | $5,000,000 |
| Average operating liabilities | $3,500,000 |
| Minimum required return | 10% |
A) What was last year's margin?
B) What was last year's return on investment (ROI)?
C) What was last year's residual income?
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Management Control Systems
Authors: Kenneth Merchant, Wim Van Der Stede
5th Edition
1292444134, 9781292444130
