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Suppose that a company was able to reduce all of the purchase costs by 5% by using new sourcing strategies. Purchases $200,000 Other Costs
Suppose that a company was able to reduce all of the purchase costs by 5% by using new sourcing strategies. Purchases $200,000 Other Costs $100,000 Plus Sales $400,000 Minus Total Costs $300,000 Inventory $270,000 Profit $100,000 Divided by Total Assets $1,000,000 ROA 10% (a) [1 PT] Compute the new purchase costs after the purchase costs are reduced by 5%. (b) [1 PT] Compute the new total costs after the purchase costs are reduced by 5%. (c) [1 PT] Compute the new profit after the purchase costs are reduced by 5%. (d) [1 PT] Compute the new value of inventory after the purchase costs are reduced by 5%. (e) [1 PT] Compute the new value of total assets after the purchase costs are reduced by 5%. (f) [1 PT] Compute the new return on assets after the purchase costs are reduced by 5%. Write your answer as a percentage rounded to two decimal places.
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