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The Reed Division reports the following operating data for the past two years: Year 1 Year 2 Margin 20% ? Turnover 2.0 2.5 Average operating

The Reed Division reports the following operating data for the past two years:


Year 1 Year 2
Margin 20% ?
Turnover 2.0 2.5
Average operating assets ? $210,000
Net operating income $44,000 ?
Stockholders equity $80,000 $125,000
Sales ? ?

The return on investment at Reed was exactly the same in Year 1 and Year 2.

Sales in Year 2 amounted to: (Round your intermediate calculations to 2 decimal places.)

$575,000
$475,000
$550,000
$525,000

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