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Margi, Turnover, Return on teman Average Operating Assets hay Company provided the following income statement for the last year $851.490.000 Lens: Variable expenses Contribution margin

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Margi, Turnover, Return on teman Average Operating Assets hay Company provided the following income statement for the last year $851.490.000 Lens: Variable expenses Contribution margin $294,977,000 Les Foed expenses Operating income 101.944,000 At the beginning of last year, they had $35,665,000 in operating the end of the year, Elway had 541,384,000 in operating assets. 2. Comote the areas a perd er as for last year Rol as a percent. Use the part 2final s in these calculations and round the final answer to two decimal places 4. RO memes company's operate income relative to its investment in the greater the ROI, the more v i dently the company is generating from its assets 5. CONCEPTUAL CONNECTION Comment on why the ROI forway Company is relatively high (as compared to the lower Rof of a typical mandatering company). 1. Decay Company mibe a service organization with relatively few physical required to generate its sales revenue and income ROI will be higher when the factors that creat 2. Emay Company be rvice organization with relatively few physical w i red and generates an income much higher than any manufacturing organization. Rotwill be higher when the factors that we normally reco m anat). 2. Hay Company might be a service oration with relatively few physical servired and generates an income much her than a manc ing organization ROI will be higher when the factors that create a company's sales or income are not formally recognized as Margin, Turnover, Return on Investment, Average Operating Assets Elway Company provided the following income statement for the last year: Sales $851,490,000 Less: Variable expenses 556,513,000 Contribution margin $294,977,000 Less: Fixed expenses 193,083,000 $101,894,000 Operating income At the beginning of last year, Elway had $38,688,000 in operating assets. At the end of the year, Elway had $41,384,000 in operating assets. relative to its investment in assets. The greater the ROI, the more 4. ROI measures a company's ability to generate income efficiently the company is generating from its assets. 5. CONCEPTUAL CONNECTION Comment on why the ROI for Elway Company is relatively high (as compared to the lower ROI of a typical manufacturing company). 1. Elway Company might be a service organization with relatively few physical assets required to generate its sales revenue and income. ROI will be higher when the factors that create a company's sales or income are not formally recognized as assets (e.g. human talent). 2. Elway Company might be a service organization with relatively few physical assets required and generates an income much higher than any manufacturing organization. ROI will be higher when the factors that create a company's sales or income are not formally recognized as assets (e.g. human talent). 3. Elway Company might be a service organization with relatively few physical assets required and generates an income much higher than any manufacturing organization. ROI will be higher when the factors that create a company's sales or income are not formally recognized as assets (e.g. goodwill)

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