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Page 6 of 7 Click to Launch Evaluating a Profit Center Beth Shields, president of Dover Travel Company, a travel agency, is seeking a method

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Page 6 of 7 Click to Launch Evaluating a Profit Center Beth Shields, president of Dover Travel Company, a travel agency, is seeking a method of evaluating her seven branches. Each branch vice president is authorized to hire employees and devise competitive strategies for the branch territory. Ms. Shields wonders which of the following three different measures would be most suitable: return on investment, operating income, or return on sales (operating income divided by sales) Required: a. In your own words describe the purposes of the three measures (Note: a description is not the equation in words). b. Using the concept of controllability, advise Ms. Shields about the best performance measure. Explain in detail Value: 100 points Grading: Review the Online Discussions grading policies in the START HERE section ENG 7834 US7/19 3

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