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Problem 15-22A (Algo) Return on investment LO 15-6 Rooney Corporation's balance sheet indicates that the company has $630,000 invested in operating assets. During the year,

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Problem 15-22A (Algo) Return on investment LO 15-6 Rooney Corporation's balance sheet indicates that the company has $630,000 invested in operating assets. During the year, Rooney earned operating income of $79,380 on $1,260,000 of sales Required a. Compute Rooney's profit margin for the year b. Compute Rooney's turnover for the year. c. Compute Rooney's return on investment for the year, d. Recompute Rooney's ROI under each of the following independent assumptions (1) Sales increase from $1,260,000 to $1,512,000, thereby resulting in an increase in operating income from $79,380 to $90,720 (2) Sales remain constant, but Rooney reduces expenses, resulting in an increase in operating income from $79,380 to $81,900 (3) Rooney is able to reduce its invested capital from $630,000 to $504,000 without affecting operating income. Complete this question by entering your answers in the tabs below. Reg A to C Reg D Required a. Compute Rooney's profit margin for the year. b. Compute Rooney's turnover for the year. c. Compute Rooney's return on investment for the year. d. Recompute Rooney's ROI under each of the following independent assumptions: (1) Sales increase from $1,260,000 to $1,512,000, thereby resulting in an increase in operating income from $79,380 to $90720 (2) Sales remain constant, but Rooney reduces expenses, resulting in an increase in operating income from $79,380 to $81.900 (3) Rooney is able to reduce its invested capital from $630,000 to $504,000 without affecting operating income Complete this question by entering your answers in the tabs below. Reg A to Rea D Compute Rooney's profit margin, turnover and return on investment for the year. (Round "Profit margin" and "Return on investment to 1 decimal place (.e. 0.234 should be entered as 23.4) 10 a. Profit margin b Turnover Complete this question by entering your answers in the tabs below. Reg A to C Reg D Recompute Rooney's ROI under each of the following independent assumptions: (Do not round intermediate calculations. Round your answers to 2 decimal places. (l.e., .2345 should be entered as 23.45).) (1) Sales increase from $1,260,000 to $1,512,000, thereby resulting in an increase in operating income from $79,380 to $90,720. (2) Sales remain constant, but Rooney reduces expenses, resulting in an increase in operating income from $79,380 to $81,900. (3) Rooney is able to reduce its invested capital from $630,000 to $504,000 without affecting operating income. Show less Return on investment (1) 96 (2) 96 (3) 96

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