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Segment Analysis for a Conglomerate XYZ Conglomerate operates in three segments: Manufacturing, Retail, and Technology. The financial data for 2023 is as follows: Segment Revenue
- Segment Analysis for a Conglomerate
XYZ Conglomerate operates in three segments: Manufacturing, Retail, and Technology. The financial data for 2023 is as follows:
Segment | Revenue (in $ million) | Operating Profit (in $ million) | Assets (in $ million) |
Manufacturing | 5,000 | 1,000 | 8,000 |
Retail | 3,000 | 600 | 4,000 |
Technology | 4,000 | 1,200 | 6,000 |
Requirements:
- Calculate the Operating Profit Margin for each segment.
- Determine the Asset Turnover Ratio for each segment.
- Compute the Return on Assets (ROA) for each segment.
- Assess the overall profitability of the conglomerate.
- Evaluate the performance of each segment relative to the others.
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