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please if you answer all the questions, it will help me out alot thank you Solano Company has sales of $680,000, cost of goods sold
please if you answer all the questions, it will help me out alot
Solano Company has sales of $680,000, cost of goods sold of $460,000, other operating expenses of $52,000, average invested assets of $2,050,000, and a hurdle rate of 9 percent. Required: 1. Determine Solano's return on investment (ROI), investment turnover, profit margin, and residual income. (Do not round your intermediate calculations. Enter your ROI and Profit Margin percentage answer to the nearest 2 decimal places, (i.e., 0.1234 should be entered as 12.34%). Round your Investment Turnover answer to 4 decimal places.) Return on Investment Investment Turnover Profit Margin Residual Income (Loss) Return on investment Residual Income (Loss) % % % 2. Several possible changes that Solano could face in the upcoming year follow. Determine each scenario's impact on Solano's ROI and residual income. (Note: Treat each scenario independently.) (Enter your ROI percentage answers to 2 decimal places, (i.e., 0.1234 should be entered as 12.34%.)) a. Company sales and cost of goods sold increase by 40 percent. A b. Operating expenses decrease by $10,000. Return on Investment. Residual Income (Loss) c. Operating expenses increase by 20 percent. Return on Investment Residual Income (Loss) % Return on Investment Residual Income (Loss) % d. Average invested assets increase by $390,000. % e. Solano changes its hurdle rate to 15 percent. Return on Investment Residual Income (Loss) % thank you
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