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Problem 3 (Testbook Reference 9-7)-Determine margin, turnaver, and return en isvestment for a segment and the effect en each when the variables are changed The

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Problem 3 (Testbook Reference 9-7)-Determine margin, turnaver, and return en isvestment for a segment and the effect en each when the variables are changed The manager of the Winston Company faced the folloing data for the year 2015 Contrbution to indirect espenses Assets directly uned by and ideneified with the segment Saks s 1,800,000 S 22.500,000 S 36,000,000 Required: Determine the effect on margin, tamover, and return on investment of the segment in 2015 if each of the following changes uere to occur. Comsider each change separately and asune that any items not specifically mentioned remain the same as in 2014 I. A campaign to control costs resulted in S180,000 of reduced expenses. Round cach answer to two decimal places Calculate segment income if the above changes were to occur a) b) Calculate segment iavestment if the above changes were to occur Calculate segment sales if the above changes were to occur c) d) Calculate segment margin itf the above changes were to occur Calculate segment tursover if the above changes were to occur e) n Calculate segment ROI if the above changes were to occur 2. Certain nonproductive assets were eliminated. As a result, investment decreased by $900,000, and expenses decreased by $72.000. Round each answer to two decimal places (1) Calculate segment income if the above changes were to occur (2) Calculate segment investment if the above changes were to occur (3) Cakulate segment sales if the above changes were to occur (4) Calculate segment margin if the above changes were to occur (5) Calculate segment turnoner if the above changes were to occur (6) Calculate segment ROI if the above changes were to occur: 3. An advertising campaign resulted in increasing sales by $3,600,000, cost of goods sold by $2,700,000, and advertising expense by 5540,000. Round cach answer to two decimal places. a) Calculate segment income if the above changes were to occur b) Calculate segment investment if the above changes were to occur Calculate segment sales if the above changes were to occur c) Calculate segment margin if the above changes were to occur d) Calculate segment turnover if the above changes were to occur e) n Calculate segment ROI if the above changes were to occur: An investment was made in productive assets costing $900,000, As a result., sales increased by $360,000, and expenses increased by $54,000. Round each answer to two decimal places. Calculate segment income if the above changes were to occur:, a) b) Calkulate segment investment if the above changes were to occur: Calculate segment sales if the above changes were to occur: c) d) Calculate segment margin if the above changes were to occur Calculate segment turnover if the above changes were to occur e) Calculate segment ROI if the above changes were to occur w. Chapter 9 Answer Template Seenario 2 ouuas oura ses Less: Cost of Goods Sold Gross Margin Less: Operating Expenses Operating Income Effect on Inestment: Seenario 2 Seenario 3 Scenario 4 Margin auoou Sales 1340un Sales Income Investment

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