Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Return on sales (ROS) is profit as a percentage of sales revenue. ROS indicates how effective and efficient a company is in managing its resources.

image text in transcribed

Return on sales (ROS) is profit as a percentage of sales revenue. ROS indicates how effective and efficient a company is in managing its resources. The table below provides data to compare the profitability of two competitors. Using the data in the table below, calculate the return on sales for each company. Which company is the better marketer as measured by return on sales? (img: "Extra Credit ROS Data.jpg") Company A Company B Total revenue Cost of Goods Sold Total Expenses 47,697,041 8,594,792 13,350,000 44,366,586 7,829,322 11,380,000 Company A because its ROS is lower Company A because its ROS is higher Company B because its ROS is lower. Company B because its ROS is higher. Both companies are equally effective as measured by ROS

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

Strategic Public Finance

Authors: Stephen Bailey

1st Edition

0333922212, 978-033392221

More Books

Students also viewed these Finance questions

Question

Differentiate between gender equality and gender equity.

Answered: 1 week ago