there are 4 questions i have. for ex 11-2 i only need req 1 and 3

1 points Exercise 10-13 (Algo) Effects of Changes in Sales, Expenses, and Assets on ROI (L010-11 [The following information applies to the questions displayed below! Commercial Services.com Corporation provides business-to-business services on the internet. Data concerning the most recent year appear below. Sales $ 3,240,000 Net operating income $ 194,400 Average operating assets $ 810,000 The following questions are to be considered independently. Exercise 10-13 Part 2 (Algo) 2. The entrepreneur who founded the company is convinced that sales will increase next year by 40% and that net operating income will increase by 250%, with no increase in average operating assets. What would be the company's ROI? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Answer is complete but not entirely correct. Return on investment (ROD 60.00% Part 3 of 3 Required information Exercise 10-13 (Algo) Effects of Changes in Sales, Expenses, and Assets on ROI (L010-11 The following information applies to the questions displayed below) Commercial Services.com Corporation provides business-to-business services on the Internet. Data concerning the most recent year appear below 1 DO Book Sales 53,240,000 Net operating income $ 194,400 Average operating assets $ 810,000 The following questions are to be considered independently Print Exercise 10-13 Part 3 (Algo) References 3. The Chief Financial Officer of the company believes a more realistic scenario would be a $1.300.000 increase in sales, requiring a $325,000 increase in average operating assets, with a resulting $429,850 increase in net operating income. What would be the company's ROI in this scenario? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Return on investment (ROI) % ercise 11-2 (Algo) Dropping or Retaining a Segment (L011-2] e Regal Cycle Company manufactures three types of bicycles-a dirt bike, a mountain bike, and a racing bike. ta on sales and expenses for the past quarter follow: bk Total $ 921,000 472,000 449,000 Dirt Bikes $ 265,000 120,000 145,000 Mountain Bikes $ 403,000 195,000 208,000 Racing Bikes $ 253,000 157,000 96,000 ht sales lariable manufacturing and selling expenses Contribution margin Fixed expenses: Advertising, traceable Depreciation of special equipment Salaries of product-Line managers Allocated common fixed expenses Total fixed expenses Jet operating income (loss) 69,800 43,600 115,700 184,200 413,300 $ 35,700 8,800 20,900 40,500 53,000 123,200 $ 21,800 40,400 7,600 38,900 80,600 167,500 $ 40,500 nt 20,600 15,100 36,300 50,600 122,600 $ (26,680) ences located on the basis of sales dollars. inagement is concemed about the continued losses shown by the racing bikes and wants a recommendation as whether or not the line should be discontinued. The special equipment used to produce racing bikes has no sale value and does not wear out. quired: What is the financial advantage (disadvantage) per quarter of discontinuing the Racing Bikes? Should the production and sale of racing bikes be discontinued? Prepare a properly formatted segmented income statement that would be more useful to management in sessing the long-run profitability of the various product lines. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the financial advantage (disadvantage) per quarter of discontinuing the Racing Bikes? Required 2 > Financial (disadvantage) per quarter Financial advantage per quarter actures three types of bicycles-a dirt bike, a mountain bike, and a racing bike. Data on sales and expenses for the past quarter follow. Mountain Total Dirt Bikes Bikes Sales Racing Bikes $ 921,000 $ 265,000 $ 483,000 5 253,000 Variable manufacturing and selling expenses 472,000 120,000 195,000 157, eee Contribution margin 449,000 145,000 208,000 96,000 Fixed expenses: Advertising, traceable 69,800 8,800 40,400 20,600 Depreciation of special equipment 43,600 20,900 7,600 15,180 Salaries of product-line managers 115,700 40,500 38,900 36,300 Allocated common fixed expenses 184,200 53,000 80,600 50,500 Total fixed expenses 413,300 123,200 167,500 122.680 Net operating income (loss) $ 35,700 $ 21,300 $ 40,500 $ 126,600) "Allocated on the basis of sales dollars. Management is concerned about the continued losses shown by the racing bikes and wants a recommendation as to whether or not the line should be discontinued. The special equipment used to produce racing bikes has no resale value and does not wear out. Required: 1. What is the financial advantage (disadvantage) per quarter of discontinuing the Racing Bikes? 2. Should the production and sale of racing bikes be discontinued? 3. Prepare a property formatted segmented income statement that would be more useful to management in assessing the long-run profitability of the various product lines. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a properly formatted segmented income statement that would be more useful to management in assessing the for profitability of the various product lines. Totals Dirt Bikes Mountain Bikes Racing Bike Contribution margin (loss) Traceable fixed expenses 0 0 0 0 0 0 Total traceable food expenses Product line segment margin (los) 0 05 0 $ 05 0 Not operating incomo loss) 5 0 Required a