Posters.com is a small Internet retailer of high-quality posters. The company has $870,000 in operating assets and fixed expenses of $168,000 per year. With this level of operating assets and fixed expenses, the company can support sales of up to $5,300,000 per year. The companys contribution margin ratio is 12%, which means that an additional dollar of sales results in additional contribution margin, and net operating income, of 12 cents.

Required:

1. Complete the following table showing the relation between sales and return on investment (ROI).

2. What happens to the companys return on investment (ROI) as sales increase?

Required 1 Required 2 Complete the following table showing the relation between sales and return on investment (ROI). (Round yo answers to 2 decimal places.) Sales ROI Net Operating opera Income $ 408,000 4,800.000 4,900,000 Average Operating Assets $ 870,000 $ 870,000 $ 870,000 $ 870,000 $ 870,000 $ 870,000 5,000,000 5,100,000 5,200.000 5,300,000