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Sunland Decor sells home decor items through three distribution channels-retail stores, the Internet, and catalog sales. Each distribution channel is evaluated as an investment center.
Sunland Decor sells home decor items through three distribution channels-retail stores, the Internet, and catalog sales. Each distribution channel is evaluated as an investment center. Selected results from the latest year are as follows: Retail Stores Internet Catalog Sales Sales revenue $9,758,800 $3,570,000 $3,870,000 Variable expenses 3,935,000 1,360,000 1,820,000 Direct fixed expenses 4,750,332 930,155 1,829,410 Average assets 7,870,000 3,570,000 1,935,000 Required rate of return 12% 12% 12% (a1) Calculate the margin and asset turnover for each of the three distribution channels. (Round answers to 2 decimal places, e.g. 5.12% or 5.12.) Margin Asset turnover Retail Stores Internet Catalog Sales % % % (a2) Calculate the ROI for each of the three distribution channels. (Round answers to 2 decimal places, e.g. 5.12%.) ROI Retail Stores % eTextbook and Media Save for Later Internet Catalog Sales do % % Attempts: 0 of 3 used Submit
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