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the provided drop-downs for Requirement 5 & 6 Here is the information regarding this problem- just need the answers to Requirement 5 & 6. DE

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Here is the information regarding this problem- just need the answers to Requirement 5 & 6. image text in transcribed
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DE of 3 Only the Paint Stores division is meeting management's target rate of retum. A division with a negative RI should consider Requirement 6. Describe some of the factors that management considers when setting its minimum target rate of return Management different minimum target rates for different divisions. For example, management rec division operating in a riskier business environment. Management will need to decide should be net of decreasing its long-term debt decreasing its operating income eliminating nonproductive assets of 3 of 3 Choose from any list or enter any number in the input fields and then continue to the next question Only the Paint Stores division is meeting management's target rate of retum. A division with a negative RI should consider of 3 of 3 Requirement 6. Describe some of the factors that management considers when setting its minimum target rate of return Management different minimum target rates for different divisions. For example, management division opera 3s environment. Management will need to decide should be net cannot have require a higher target rate of return from a for the calculations and whether it of 3 of 3 may have Choose from any list or enter any number in the input fields and then continue to the next question. 2 Only the Paint Stores division is meeting management's target rate of return. A division with a negative RI should consider Requirement 6. Describe some of the factors that management considers when setting its minimum target rate of return. Management different minimum target rates for different divisions. For example, management require a higher target rate of return from a division operating in a riskier business environment. Management will need to decide for the calculations and whether it should be net of might would not Choose from any list or enter any number in the input fields and then continue to the next question. Only the Paint Stores division is meeting management's target rate of return. A division with a negative RI should consider Requirement 6. Describe some of the factors that management considers when setting its minimum target rate of return. Management different minimum target rates for different divisions. For example, management require a higher target rate of return from a division operating in a riskier business environment. Management will need to decide for the calculations and whether it should be net of Choose from any list or enter any number in the input fields and then continue to what assets to include in total assets what liabilities to include in total liabilities Only the Paint Stores division is meeting management's target rate of retur. A division with a negative RI should consider Requirement 6. Describe some of the factors that management considers when setting its minimum target rate of return. Management different minimum target rates for different divisions. For example, management require a higher target rate of return from a division operating in a riskier business environment. Management will need to decide should be net of D for the calculations and whether it Choose from any put fields and then continue to the next question. accumulated depreciation. income taxes ? Bern Paints is a national paint manufacturer and retailer. The company is segmented into five divisions: Paint Stores (branded retail locations). Consumer (paint sold through home improvement stores), Automotive (sales to auto manufacturers), International, and Administration, Read the requirements The following is selected divisional information for its two largest divisions: Paint Stores and Consumer. Click the icon to view the information.) Management has specified a 21% target rate of return. Requirement 1. Calculate each division's Rpl Round all of our anciare to four decimal nlaces Begin by selecting the formula to calculated 0 Data Table x's ROI. (Round your calculations to four decimal places and enter your answer as a Operating income Paint Stores $482,000 Net Sales Operating Average Total Revenue Income Assets Consumer $187,000 Paint Stores $ 3,950,000 $ 482,000 $ 1,410,000 Requirement 2. Calculate each division's pd Consumer 1,295,000 187,000 1,615,000 Begin by selecting the formula to calculate margin ratio. (Enter each profit margin ratio as a percent rounded to two decimal places Print Done Operating income Paint Stores $482,000 $3,950,000 0.12 % Consumer $187,000 $1.295,000 + - 0.14 % The Consumer division is more profitable on each dollar of sales. Choose from any list or enter any number in the input fields and then continue to the next question. Question Help 0 The following is selected divisional information for its two largest divisions: Paint Click the icon to view the information.) Management has specified a 21% target rate of return Bern Paints is a national paint manufacturer and retailer. The company is segmented into five divisions: Paint Stores (branded retail locations). Consumer (paint sold through home improvement stores), Automotive (sales to auto manufacturers), International, and Administration. Read the requirements Stores and Consumer. 0.34 % 0.12 % Requirement 1. Calculate each division's ROI. Round all of your answers to four decimal places. Begin by selecting the formula to calculate return on investment (ROI), and then enter the amounts to calculate each division's ROI. (Round your calculations to four decimal places and enter your answer as a percent rounded to two decimal places, X.XX%) Operating income Average total assets ROI Paint Stores $482,000 $1.410,000 Consumer $187,000 $1,615,000 Requirement 2. Calculate each division's profit margin ratio. Interpret your results. Begin by selecting the formula to calculate profit margin ratio, and then enter the amounts to calculate each division's profit margin ratio. (Enter each profit margin ratio as a percent rounded to two decimal places, X.XX%.) Operating income Net sales revenue Profit margin ratio Paint Stores $482,000 $3,950,000 Consumer $187,000 $1.295,000 - 0.12 % + 0.14 % The Consumer division is more profitable on each dollar of sales. Bern Paints is a national paint manufacturer and retailer. The company is segmented into five divisions: Paint Stores (branded retail locations). Consumer (paint sold through home improvement stores)Automotive (sales to auto manufacturers), International, and Administration. The following is selected divisional information for its two largest divisions: Paint Stores and Consumer Click the icon to view the information.) Management has specified a 21% target rate of retum. Read the requirements Requirement 3. Calculate each division's asset turnover ratio. Interpret your results. Begin by selecting the formula to calculate asset turnover ratio, and then enter the amounts to calculate each division's asset turnover ratio. (Round your answers to four decimal places, X.XXX.) Net sales revenue Average total assets Asset turnover ratio Paint Stores $3,950,000 $1,410,000 2.8014 Consumer $1,295,000 $1,615,000 0.8019 D DI The Paint Stores division is more efficient in generating sales with its average total assets Requirement 4. Use the expanded ROI formula to confirm your results from Requirement 1. Interpret your results. First, select the expanded ROI formula Net sales revenue * Asset turnover ratio ROI Now calculate ROI for each division using the expanded ROI formula. (Enter your answers as a percent rounded to two decimal places, X.XX%.) Using the expanded formula, the ROI for the Paint Stores division is 0.34 % DI of of Choose from any list or enter any number in the input fields and then continue to the next question. D Bern Paints is a national paint manufacturer and retailer. The company is The following is selected divisional information for its two largest divisions: Paint segmented into five divisions: Paint Stores (branded retail locations). Consumer Stores and Consumer. (paint sold through home improvement stores). Automotive (sales to auto manufacturers), International, and Administration. Click the icon to view the information.) Read the requirements. Management has specified a 21% target rate of retum Now calculate ROI for each division using the expanded ROI formula. (Enter your answers as a percent rounded to two decimal places, XXX%) Using the expanded formula, the Rol for the Paint Stores division is 0.34 % Using the expanded formula, the ROI for the Consumer division is The Consumer division's profitability on each dollar of net sales revenue is higher than the Paint Stores division's profitability. However, the Paint Stores division's efficiency is significantly higher than the Consumer division's efficiency. These results cause the Paint Stores division's ROI to be higher than the Consumer division's ROI. Requirement 5. Calculate each division's Ri. Interpret your results, and offer a recommendation for any division with negative RI. First, select the formula to calculate residual income (RI) of 0.11% of bi of RI f Now calculate each division's RI. (Use a minus sign or parentheses to enter negative residual income.) The RI for the Paint Stores division is of The Ri for the Consumer division is of Choose from any list or enter any number in the input fields and then continue to the next question. Bern Paints is a national paint manufacturer and retailer. The company is The following is selected divisional information for its two largest divisions: Paint segmented into five divisions: Paint Stores (branded retail locations). Consumer Stores and Consumer (paint sold through home improvement stores). Automotive (sales to auto (Click the icon to view the information.) manufacturers), International, and Administration Read the requirements. Management has specified a 21% target rate of retum. UIVISIOITS ROI Requirement 5. Calculate each division's RI. Interpret your results, and offer a recommendation for any division with negative RI. First, select the formula to calculate residual income (RI). RI Now calculate each division's RI. (Use a minus sign or parentheses to enter negative residual income.) The Rl for the Paint Stores division is The RI for the Consumer division is meeting management's target rate of return. A division with a negative RI should consider Requirement 6. Describe some of the factors that management considers when setting its minimum target rate of return Management different minimum target rates for different divisions. For example, management division operating in a riskier business environment. Management will need to decide should be not of V require a higher target rate of return from a for the calculations and whether it Choose from any list or enter any number in the input fields and then continue to the next

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