Westerville Company reported the following results from last years operations:

Sales	$	1,600,000
Variable expenses		700,000
Contribution margin		900,000
Fixed expenses		660,000
Net operating income	$	240,000
Average operating assets	$	1,000,000

This year, the company has a $325,000 investment opportunity with the following cost and revenue characteristics:

Sales	$	520,000
Contribution margin ratio		70	% of sales
Fixed expenses	$	312,000

The companys minimum required rate of return is 15%.

1.

What is last years margin?

2.

What is last years turnover? (Round your answer to 1 decimal place.)

3.

What is last years return on investment (ROI)?

4.	What is the margin related to this years investment opportunity?