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Using ROI and RI to evaluate investment centers Wolf Paints is a national paint manufacturer and retailer. The company is segmented into five divisions: Paint
Using ROI and RI to evaluate investment centers
Wolf 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 Administrative. The following is selected divisional information for its two largest divisions:
Net Sales Revenue Operating Income Average Total Assets
Paint Stores $ $ $
Consumer $ $ $
Management has specified a target rate of return
Calculate each divisions ROI. Round to four decimal points
Calculate each divisions profit margin ratio.
Calculate each divisions asset turnover ratio
Calculate each division RI
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