Question
Selected sales and operating data for three divisions of different structural engineering firms are given as follows: Division A Division B Division C Sales $
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Selected sales and operating data for three divisions of different structural engineering firms are given as follows: |
| Division A | Division B | Division C | |||||||
| Sales | $ | 6,500,000 | $ | 10,500,000 | $ | 9,600,000 | |||
| Average operating assets | $ | 1,300,000 | $ | 5,250,000 | $ | 1,920,000 | |||
| Net operating income | $ | 364,000 | $ | 1,008,000 | $ | 273,600 | |||
| Minimum required rate of return | 21.00 | % | 19.20 | % | 18.00 | % | |||
| Required: | |
| 1. | Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover. (Round your answers to 2 decimal places.) |
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Fia Foundations Of Financial Accounting Ffa Interactive Text
Authors: BPP Learning Media
1st Edition
1509724176, 978-1509724178
