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Posters.com is a small Internet retailer of high - quality posters. The company has $ 7 1 0 , 0 0 0 in operating assets
Posters.com is a small Internet retailer of highquality posters. The company has $ in operating assets and fixed expenses of $ per year. With this level of operating assets and fixed expenses, the company can support sales of up to $ per year. The companys contribution margin ratio is which means that an additional dollar of sales results in additional contribution margin, and net operating income, of cents.
Required:
Complete the following table showing the relation between sales and return on investment ROI
What happens to the companys return on investment ROI as sales increase?
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