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Required information Use the following information for the Exercises below. [The following information applies to the questions displayed below.] Megamart, a retailer of consumer goods,
Required information Use the following information for the Exercises below. [The following information applies to the questions displayed below.] Megamart, a retailer of consumer goods, provides the following information on two of its departments (each considered an investment center). Average Invested Investment Sales Center Income Assets Electronics $40,500,000 $2,916,000 $16,200,000 Sporting goods 20,740,000 2,074,000 12,200,000 Exercise 22-11 Computing margin and turnover; department efficiency LO A2 Compute profit margin and investment turnover for each department. Which department generates the most net income per dollar of sales? Which department is most efficient at generating sales from average invested assets? Complete this question by entering your answers in the tabs below. Investment Profit Margin Turnover Compute profit margin for each department. Which department generates the most net income per dollar of sales? Profit Margin Profit Margin Choose Numerator: Choose Denominator: Investment Profit Margin Center Electronics / Sporting Goods Which department generates the most net income per dollar of sales? Complete this question by entering your answers in the tabs below. Investment Turnover Profit Margin Compute investment turnover for each department. Which department is most efficient at generating sales from average invested assets? Investment Turnover IChoose Denominator: Choose Numerator: Investment Turnover nvestment Center / Investment Turnover = Electronics Sporting Goods Which department is most efficient at generating sales from average invested assets? Profit Margin Investment Turnover
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