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Westerville Company reported the following results from last year s operations: Sales $ 1 , 4 0 0 , 0 0 0 Variable expenses 5
Westerville Company reported the following results from last years operations:
Sales $
Variable expenses
Contribution margin
Fixed expenses
Net operating income $
Average operating assets $
At the beginning of this year, the company has a $ investment opportunity with the following cost and revenue characteristics:
Sales $
Contribution margin ratio of sales
Fixed expenses $
The companys minimum required rate of return is
What is last years margin
What is last years turnover? Round your answer to decimal place.
What is last years return on investment ROIRound your intermediate calculations to decimal place. in
What is the margin related to this years investment opportunity? written in
What is the turnover related to this years investment opportunity? Round your answer to decimal place.
What is the ROI related to this years investment opportunity? Do not round intermediate calculations. written in percentage
If the company pursues the investment opportunity and otherwise performs the same as last year, what margin will it earn this year? Round your percentage answer to decimal place ie should be entered as
If the company pursues the investment opportunity and otherwise performs the same as last year, what turnover will it earn this year? Round your answer to decimal places.
If the company pursues the investment opportunity and otherwise performs the same as last year, what ROI will it earn this year? Do not round intermediate calculations. Round your percentage answer to decimal place ie should be entered as
NA
What is last years residual income?
What is the residual income of this years investment opportunity?
If the company pursues the investment opportunity and otherwise performs the same as last year, what residual income will it earn this year?
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