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Ultimate Sports Company makes snowboards, downhill skis, cross-country skis, skateboards, surfboards, and inline skates. The company has found it beneficial to split operations into two
Ultimate Sports Company makes snowboards, downhill skis, cross-country skis, skateboards, surfboards, and inline skates. The company has found it beneficial to split operations into two divisions based on the climate required for the sport Snow Sports and Non-snow Sports. The following divisional information is available for the past year: (Click the icon to view the information ) Ultimate's management has specified a 16% target rate of return. 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. Profit margin ratio Data Table Snow Sports Non-snow Sports Based on the divisions' profit margins, we know that the profit margins the divisions had different ROI's. Net SalesOperating Revenue Average Total Assets Income ROI Snow Sports S 5.300,000 $ 954,000 $ 4.700.000 20.3 % Non-snow Sports 8,200,000 476,000 6,900,000 21.4% Print Done Choose from any list or enter any number in the input fields and then continue to the next
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