Question
Janie wants to compare the divisions in terms of margin, turnover, ROI, and Residual Income (RI). To get her started her assistant prepared some key
Janie wants to compare the divisions in terms of margin, turnover, ROI, and Residual Income (RI). To get her started her assistant prepared some key financial results below:
| Wrentham | Milford | Franklin | Portland | Stamford |
Revenue | $400,000 | $600,000 | $350,000 | $800,000 | $200,000 |
Net operating income | $20,000 | $30,000 | $24,500 | $56,000 | $12,000 |
Average operating assets | $250,000 | $300,000 | $233,333 | $533,333 | $100,000 |
Stockholders equity | $212,500 | $255,000 | $198,333 | $453,333 | $85,000 |
Residual income (loss) | ($5,000) |
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Required: Answer each of the following questions associated with the information provided. In answering the numerical questions round your final answer to at least two decimal points. For example, a margin of 10.4115% would be 10.41%. A turnover of 3.3621 would be 3.36.
11. | Wrentham Margin is |
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12.. | Wrentham Turnover is |
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13. | Milford Margin is |
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14. | Milford Turnover is |
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15. | Franklin Margin is |
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16. | Franklin Turnover is |
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17. | Portland Margin is |
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18. | Portland Turnover is |
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19. | Stamford Margin is |
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20. | Stamford Turnover is |
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21. | Stamford Residual Income is |
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