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! Required information [The following information applies to the questions displayed below.] A manufacturer reports the following for two of its divisions for a recent
! Required information [The following information applies to the questions displayed below.] A manufacturer reports the following for two of its divisions for a recent month. Average assets Sales Income Beverage Division $ 8.000 3.450 870 Cheese Division $ 14,500 5,600 1,250 For each division, compute: 1. return on investment. 2. profit margin. 3. investment turnover. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute return on investment. Numerator: Return on Investment | Denominator: 1 / II Return on investment Division Beverage Cheese I! / 11 ! Required information [The following information applies to the questions displayed below.) A manufacturer reports the following for two of its divisions for a recent month. Average assets Sales Income Beverage Division $ 8,000 3,450 870 Cheese Division $ 14,500 5,600 1.250 Assume that each of the company's divisions has a target income at 7% of average assets. Compute residual income fo each division. Target Income Beverage Cheese Targeted return Target income Residual Income Beverage Cheese Residual income
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