Problem 12-6

Compute ROI for both years.

Break ROI down into profit margin and investment turnover.

Problem 12-6 Consider the following information for H Craft Stores for 2014 and 2015: 2014 2015 Total assets $59,800,000 $57,000,000 Noninterest-bearing current liabilities 4,380,000 4,920,000 3,660,000 4,910,000 Net income Interest expense 2,440,000 2,950,000 Sales 66,000,000 96,250,000 40% 40% Tax rate Compute ROI for both years. (Round answers to 2 decimal places, e.g. 15.32%) 2014 2015 ROI LINK TO TEXT Break ROI down into profit margin and investment turnover. (Round answers to 4 decimal places, e.g. 15.3215.) 2014 2015 Profit margin Investment turnover