Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The United World Corporation has three subsidiaries. Computers Magazines Cable TV Sales $ 2 0 , 2 2 0 , 0 0 0 $ 5
The United World Corporation has three subsidiaries.
Computers Magazines Cable TV
Sales $ $ $
Net income after taxes
Assets
a Compute the return on sales. Do not round intermediate calculations. Round the final answers to decimal places.
Return on sales
Computers Numeric ResponseEdit Unavailable. correct.
Magazines Numeric ResponseEdit Unavailable. correct.
Cable TV Numeric ResponseEdit Unavailable. correct.
a Which division has the lowest return on sales?
multiple choice
cable TV
magazines Correct
computers
b Compute the ROA. Round the final answers to decimal places.
Return on assets
Computers Numeric ResponseEdit Unavailable. correct.
Magazines Numeric ResponseEdit Unavailable. correct.
Cable TV Numeric ResponseEdit Unavailable. correct.
b Which division has the highest ROA?
multiple choice
computers Correct
cable TV
magazines
c Compute the ROA for the entire corporation. Do not round intermediate calculations. Round the final answer to decimal places.
Return on assets Numeric ResponseEdit Unavailable. incorrect.
d If the $ investment in the cable TV division is sold and redeployed in the computer subsidiary at the same rate of ROA currently achieved in the computer division, what will be the new ROA for the entire corporation? Round the final answer to decimal places.
New return on assets Numeric ResponseEdit Unavailable. incorrect.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started