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Selected operating data on the two divisions of Prism Company are given below: Sales Average operating assets Operating income Plant and equipent Division Eastern Western
Selected operating data on the two divisions of Prism Company are given below: Sales Average operating assets Operating income Plant and equipent Division Eastern Western $800,000 $1,250,000 $300.000 $ 400.000 $ 70,000 $ 115,000 $125.000 $ 200.000 Required: 1. Compute the rate of return for each division using the ROI formula stated in terms of margin and turnover. (Do not round intermediate calculations. Round your answers to 1 decimal place.) Eastem Division Western Division 2. Which divisional manager seems to be doing the better job? Western Division Eastern Division Selected operating data on the two divisions of Prism Company are given below: Sales Average operating assets Operating income Plant and equipent Division Eastern Western $800,000 $1,250,000 $300.000 $ 400.000 $ 70,000 $ 115,000 $125.000 $ 200.000 Required: 1. Compute the rate of return for each division using the ROI formula stated in terms of margin and turnover. (Do not round intermediate calculations. Round your answers to 1 decimal place.) Eastem Division Western Division 2. Which divisional manager seems to be doing the better job? Western Division Eastern Division
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