Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Show Attempt History Current Attempt in Progress The service civision of Raney Industries reported the following results for 2020. Sales $478,000 Variable costs 286,800 Controllable
Show Attempt History Current Attempt in Progress The service civision of Raney Industries reported the following results for 2020. Sales $478,000 Variable costs 286,800 Controllable foved costs 65,230 Average operating assets 663,000 Management is considering the following independent courses of action in 2021 in order to maximize the return on investment for this division 1. Reduce average operating assets by $178,500, with no change in controllable margin. Increase sales $129,285, with no change in the contribution margin percentage 2. Your answer is correct. Compute the controllable margin and the return on investment for 2020. Controllable margin S 125970 Return on investment for 2020 19 96 e Textbook and Media Attempts: 2 of 3 used (6) Your answer is incorrect Compute the controllable margin and the expected return on investment for 2021 for each proposed alternative. (Round Rol to 1 decimal place, eg 1.5%) Alternative 1 Alternative 2 The controllable margin S 125970 The expected return on investment 1 e Textbook and Media Save for Laser Attempts: 2 of 3 used Submit
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started