Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Return on investment is often expressed as follows: Controllable margin ROI =- Average operating assets Controllable margin Sales Sales Average operating assets (b1) Comparative data

image text in transcribed

Return on investment is often expressed as follows: Controllable margin ROI =- Average operating assets Controllable margin Sales Sales Average operating assets (b1) Comparative data on three companies operating in the same industry follow. The minimum required ROI is 10% for all three companies. Determine the missing amounts. (Round asset turnover of Company B and return on investment of Company C to 1 decimal place, e.g. 15.2 or 15.2% and all other answers to o decimal places, e.g. 152. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Company A Company B Company C Sales $1,458,000 $697,400 $132,506 (a) (6) $ Net operating income $189,540 $132,506 Average operating assets $5,416,000 0.5 % Profit margin $729,000 (0) $ % (e) (9) (d) % Assets turnover Return on investment 1.9 % (i) (k) (1) Residual income (1)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Finance Applications And Theory

Authors: Marcia Cornett, Troy Adair, John Nofsinger

5th Edition

1260013987, 9781260013986

More Books

Students also viewed these Finance questions

Question

21. How does nicotine affect dopamine synapses?

Answered: 1 week ago

Question

Find the median for the set of measurements 2, 9, 11, 5, 6.

Answered: 1 week ago

Question

Write a c program that reverse the entered number.

Answered: 1 week ago

Question

What is meant by organisational theory ?

Answered: 1 week ago

Question

What is meant by decentralisation of authority ?

Answered: 1 week ago

Question

Briefly explain the qualities of an able supervisor

Answered: 1 week ago

Question

Define policy making?

Answered: 1 week ago

Question

Define co-ordination?

Answered: 1 week ago

Question

3. Where is the job to be accomplished?

Answered: 1 week ago