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[ The following information applies to the questions displayed below. ] Fitness Fanatics is a regional chain of health clubs. The managers of the clubs,
The following information applies to the questions displayed below.
Fitness Fanatics is a regional chain of health clubs. The managers of the clubs, who have authority to make investments as needed, are evaluated based largely on return on investment ROI The company's Springfield Club reported the following results for the past year:
Sales $
Net operating income $
Average operating assets $
The following questions are to be considered independently.
Assume that the manager of the club is able to reduce expenses by $ without any change in sales or average operating assets. What would be the clubs return on investment ROIDo not round intermediate calculations. Round your answer to decimal places.
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