The contribution format income statement for Huerra Company for last year is given below:

	Total		Unit
Sales	$	996,000	$	49.80
Variable expenses		597,600		29.88
Contribution margin		398,400		19.92
Fixed expenses		316,400		15.82
Net operating income		82,000		4.10
Income taxes @ 40%		32,800		1.64
Net income	$	49,200	$	2.46

The company had average operating assets of $501,000 during the year.

4. The company issues bonds and uses the proceeds to purchase $128,000 in machinery and equipment at the beginning of the period. Interest on the bonds is $11,000 per year. Sales remain unchanged. The new, more efficient equipment reduces production costs by $7,000 per year. (Round your answers to 2 decimal places.)

I know the turnover for this is 1.58 but i cant figure out the margin or ROI

5. Sales are increased by 15%; operating assets remain unchanged. (Round your answers to 2 decimal places.)

6. Obsolete inventory carried on the books at a cost of $18,000 is scrapped and written off as a loss. (Round your answers to 2 decimal places.)

7. The company uses $183,000 of cash (received on accounts receivable) to repurchase and retire some of its common stock. (Round your answers to 2 decimal places.)

I know the margin for this is 8.23%