Question
SipacoreMills is a division of Iowa Woolen Products. For the most recent year,Sipacorehad net income of $18,400,000. Included in income was interest expense of $1,288,000.
SipacoreMills is a division of Iowa Woolen Products. For the most recent year,Sipacorehad net income of $18,400,000. Included in income was interest expense of $1,288,000. The operation's tax rate is15percent. Total assets ofSipacoreMills are $216,200,000, current liabilities are $47,840,000, and $33,120,000of the current liabilities are noninterest bearing.
Calculate NOPAT, invested capital, and ROI forSipacoreMills.(Round ROI to 2 decimal places, e.g. 5.25%.)
NOPAT $________enter NOPAT in dollars rounded to 0 decimal places
Invested capital $________enter Invested capital in dollars rounded to 0 decimal places
ROI____________% enter the return on investment in dollars rounded to 2 decimal places
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