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please answer all of the following ASAP. thank you! Swit Company has three divisions and expects each division to eam a 16% target rate of
please answer all of the following ASAP. thank you!
Swit Company has three divisions and expects each division to eam a 16% target rate of Division 3 reported the following data: return. The company had the following results last year (Click the icon to viaw the Division 3 dat: (Click the icon to view the results.) Data table Data table Requirement 3. What can you conclude based on the financial performance KPls? Both inveatment center financial periormance KPIs ( Top management's and stakeholders' expectations are the division is point to the same conclusion: Dhision 3 moetion financial expectations: Recall, however, that financial performance measures tond to be lag indicators - measuring the results of decisions made in the past. The division's manager may currently be irmplementing new initiotives to future profitability. Lead indicators should be used to project whether such inlifiatives are pointing the division in the right direction the division's Requirement 1. Compute Division 3's profit margin ratio, asset tumover ratio, and ROI. Round your results to three decinal places. Interpret the results in relation to the other two divisions. Begin by computing Division 3's profit margin ratio. (Enter the profit rargin ratio as a percentage rounded to one docimal place, X% ) Now compute Division 3s asset turnover ratio. (Enter the asset tumover ratio in decimal form to three decimal places, XXXX) Next, compute Division 3s ROL (Enter any previously calculated amounts in the same format as you previouily entared them Enter the ROS as a percentage rounded to one decimal place, % ) Division 3 meetind too manapoment's expectations. Is ROI is than the 16% taroet rate of roturn. Division 35 orofe marain tatio is than the othar two Divition 3 meeting top management's expectations. Its ROI is than the 16% target rate of retum. Disison 3 s profit margin ratio is than the other two divisions. Additionally, the anset furnover ratio is than Division 1 's and than Divilon 2/s. This means that Division 3 generating sales from its average total assets as efflclently as Divetion 1 and Division 3 is efficient than Divtilon 2 Division management Requirement 2. Compute and interpret Division 3's RI. First, compute Division 3is RI. (Use parentheses or a minus sign for a negatwe Ru.) The Ri confirms the ROI results: The division meeting managements target rate of return. Requitrement 3, What can you conclude based on the financiat performanon KPin? Both investment center tinancial performance KPls [point to the same conclusion. Division 3 meeting financlat expectations Step by Step Solution
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