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please solve- highlight or underline answers Westerville Company reported the following results from last year's operations Sales Varlable expenses Contribution margin Fixed expenses Net operating
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Westerville Company reported the following results from last year's operations Sales Varlable expenses Contribution margin Fixed expenses Net operating Income $ 1,500,000 650,000 850,000 580,000 $ 270,000 Average operating assets $ 1,000,000 This year, the company has a $160,000 investment opportunity with the following cost and revenue characteristics $ 240,000 Sales Contribution margin ratio Fixed expenses 70% of sales $144,000 The company's minimum required rate of return is 10% 1-a.) If the company pursues the investment opportunity and otherwise performs the same as last year, what margin will it earn this year? (Round your percentage answer to 1 decimal place (i.e 0.1234 should be entered as 12.3%)) 1-b) lf the company pursues the investment opportunity and otherwise performs the same as last year, what turnover will it earn this year? (Round your answer to 2 decimal places.) 1-c) If the company pursues the investment opportunity and otherwise performs the same as last year, what ROl will it earn this year? (Do not round intermediate calculations. Round your percentage answer to 1 decimal place (i.e., 0.1234 should be entered as 12.3%)) 1-d) lf Westerville's chief executive officer will earn a bonus only if her ROI from this year exceeds her ROl from last year, would she pursue the investment opportunity? Would the owners of the company want her to pursue the investment opportunityStep by Step Solution
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