Question
Liz Raiborn Inc. has the following financial results for the years 2019 through 2021 for its three regional divisions: 2019 2020 2021 Revenue Southwest $
Liz Raiborn Inc. has the following financial results for the years 2019 through 2021 for its three regional divisions:
| 2019 | 2020 | 2021 | |||||||
| Revenue | |||||||||
| Southwest | $ | 14,575 | $ | 21,675 | $ | 25,675 | |||
| Midwest | 6,375 | 6,675 | 6,875 | ||||||
| Southeast | 12,075 | 12,675 | 12,975 | ||||||
| Total | $ | 33,025 | $ | 41,025 | $ | 45,525 | |||
| Net Operating Income | |||||||||
| Southwest | $ | 775 | $ | 875 | $ | 1,025 | |||
| Midwest | 925 | 1,275 | 1,225 | ||||||
| Southeast | 675 | 875 | 1,275 | ||||||
| Total | $ | 2,375 | $ | 3,025 | $ | 3,525 | |||
| Average Total Assets | |||||||||
| Southwest | $ | 13,675 | $ | 13,875 | $ | 16,475 | |||
| Midwest | 4,375 | 3,875 | 3,875 | ||||||
| Southeast | 4,975 | 5,275 | 5,275 | ||||||
| Total | $ | 23,025 | $ | 23,025 | $ | 25,625 | |||
Required:
Calculate return on sales (ROS), asset turnover (AT), and return on investment (ROI) for each division and also for the firm as a whole for each of the three years 2019, 2020, and 2021. (Note: Due to rounding your percentages, the totals for the firm might not be the actual total of the individual divisions.) (Round "Asset turnover (AT)" answers to 3 decimal places and other answers to 1 decimal place.)
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Advanced Financial Reporting And Analysis
Authors: John Dunn, Margaret Stewart
1st Edition
0470973609, 9780470973608
