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Use the following information for the Exercises below. (Algo)

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[The following information applies to the questions displayed below.] Megamart provides the following information on its two investment centers.

Investment Center	Sales	Income	Average Assets
Electronics	$ 41,000,000	$ 2,624,000	$ 16,400,000
Sporting goods	18,600,000	1,860,000	12,400,000

Exercise 22-11 (Algo) Computing profit margin and investment turnover LO A2

Compute profit margin and investment turnover for each center. Which center generates more income per dollar of sales? Which department is most efficient at generating sales from average invested assets?

Profit Margin

Investment Turnover

Compute profit margin for each center. Which center generates more income per dollar of sales?

Profit Margin
	Numerator:	/	Denominator:
Investment Center		/		=	Profit Margin
Electronics		/		=
Sporting Goods		/		=
Which center generates more income per dollar of sales?

Compute investment turnover for each center. Which department is most efficient at generating sales from average invested assets?

Investment Turnover
	Numerator:	/	Denominator:
Investment Center		/		=	Investment Turnover
Electronics		/		=
Sporting Goods		/		=
Which department is most efficient at generating sales from average invested assets?

Profit Margin