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Megamart, a retailer of consumer goods, provides the following information on two of its departments (each considered an investment center). Investment Center Sales Income Average

Megamart, a retailer of consumer goods, provides the following information on two of its departments (each considered an investment center).

Investment Center Sales Income Average Invested Assets
Electronics $ 40,500,000 $ 2,916,000 $ 16,200,000
Sporting goods 20,740,000 2,074,000 12,200,000

Compute profit margin and investment turnover for each department. Which department generates the most net income per dollar of sales? Which department is most efficient at generating sales from average invested assets?image text in transcribed

Complete this question by entering your answers in the tabs below. Profit Margin Investment Turnover Compute profit margin for each department. Which department generates the most net income per dollar of sales? = Profit Margin Profit Margin Profit Margin Choose Numerator: I Choose Denominator: Investment Center Electronics Sporting Goods Which department generates the most net income per dollar of sales? Complete this question by entering your answers in the tabs below. Profit Margin Investment Turnover Compute investment turnover for each department. Which department is most efficient at generating sales from average invested assets? = Investment Turnover = Investment Turnover Investment Turnover Choose Numerator: 1 Choose Denominator: Investment Center Net income 1 Average invested assets Electronics 1 $ 16,200,000 Sporting Goods 1 $ 12,200,000 Which department is most efficient at generating sales from average invested assets? Electronics

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