my off 1... eBook Show Me How FORKLIFT MATERIAL HANDLING Income statement Comparison Current Year Prior Year (Amounts in thousands) Sales $33,700 $24,800 Cost of goods sold 21,905 16,864 Gross profit $11,795 $7,936 Expenses: Wages Utilities Repairs Selling Total Expenses Operating income Operating income % Total assets (investment base) Return on investment Residual income (8% cost of capital) $8,775 $6,189 675 300 170 300 507 200 $10,127 $6,989 ? ? $4,500 $1,400 ? 7 ? Print Item A. Determine the operating income (loss) (dollars) for each year. If required round final answers to two decimal places. Current Year Prior Year G A. Determine the operating income (loss) (dollars) for each year. If required round final answers to two decimal places. Current Year Prior Year Operating income (loss) B. Determine the operating income (loss) (percentage) for each year. If required round final answers to two decimal places. Operating income (loss) Current Year Prior Year % c. The company made a strategic decision to invest in additional assets in the current year. These amounts are provided. Using the total assets amounts as the investme base, calculate the return on investment. Was the decision to invest additional assets in the company successful? If required round final answers to two decimal places. Current Year Prior Year Return on investment % D. Assuming an 8% cost of capital, calculate the residual income for each year. Do not round intermediate computations and round final answers to nearest whole dollar. For those boxes in which you must enter subtractive or negative numbers use a minus sign. Current Year Prior Year Residual income s The residual income related to the investment increased consider both methods in their analysis of the investment. in the current year. This conflicts with the ROI results. Management should. Feedback