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Presented below is selected information for three regional divisions of Medina Company. Divisions North West South Contribution margin $299,100 $501,000 $399,000 Controllable margin $139,500 $362,000
Presented below is selected information for three regional divisions of Medina Company.
| Divisions | |||||||||
| North | West | South | |||||||
| Contribution margin | $299,100 | $501,000 | $399,000 | ||||||
| Controllable margin | $139,500 | $362,000 | $208,500 | ||||||
| Average operating assets | $930,000 | $1,810,000 | $1,390,000 | ||||||
| Minimum rate of return | 13 | % | 15 | % | 9 | % | |||
(a)
Compute the return on investment for each division.
| North Division | % | ||
| West Division | % | ||
| South Division | % |
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Financial Accounting
Authors: Michael J. Jones
2nd Edition
1119977150, 978-1119977155
