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	$	34,200,000		$	2,907,000		$	17,100,000
Sporting goods		16,768,000			2,096,000			13,100,000

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?

Complete this question by entering your answers in the tabs below.

Profit Margin

Compute profit margin for each department. Which department generates the most net income per dollar of sales?

Profit Margin
	Choose Numerator:	/	Choose Denominator:	=	Profit Margin
Investment Center		/		=	Profit Margin
Electronics		/		=
Sporting Goods		/		=
Which department generates the most net income per dollar of sales?

Compute investment turnover for each department. Which department is most efficient at generating sales from average invested assets?

Investment Turnover
	Choose Numerator:	/	Choose Denominator:	=	Investment Turnover
Investment Center		/		=	Investment Turnover
Electronics		/		=
Sporting Goods		/		=
Which department is most efficient at generating sales from average invested assets?