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Required: The following data pertain to three divisions of Nevada Aggregates, Inc. The company's required rate of return on invested capital is 8 percent. (Round
Required: The following data pertain to three divisions of Nevada Aggregates, Inc. The company's required rate of return on invested capital is 8 percent. (Round "Capital turnover" answers to 2 decimal place.) Division B Division C Sales revenue Income $ 9,020,000 Division A $ 8,750,000 $ 1,750,000 $ 8,750,000 20% 1.00 20 % $ 1,050,000 Average investment Sales margin Capital turnover ROI Residual income 22 % 4.00 25 % 0.80 20% 492,000 $
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