Question
Return on investment is often expressed as follows: ROI Controllable margin Average operating assets Controllable margin Sales Sales Average operating assets (61) Comparative data on
Return on investment is often expressed as follows: ROI Controllable margin Average operating assets Controllable margin Sales Sales Average operating assets (61) 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, eg. 152. Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses e.g. (45)) Sales Net Company A $1,598,000 operating income Average operating assets $175,780 $700.000 G Company B Company C (a) $ $771,100 (b) $ $169.642 companies. Determine the missing amounts. (Round asset turnover of Company B and retum on Investment of Company C to 1 decimal place, eg. 15.2 or 15.2% and all other answers to O decimal places, eg. 152. Enter negative amounts using either a negative sign preceding the number eg-45 or parentheses eg. (45)) Sales Net operating income Company A $1,598,000 $175,780 Average operating assets (c) $ $799,000 Profit (d) % (e) margin Assets (f) turnover (g) Return on investment Residual income th) % (k) S Company B Company C $771,100 (a) $ (b) $169,642 $5,358,000 96 0.5A 2.2 % (i) 10S 5
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