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Wolf Paints is a national paint manufacturer and retailer. The company is segmented into The following is selected divisional information for its two largest divisions:
Wolf Paints is a national paint manufacturer and retailer. The company is segmented into The following is selected divisional information for its two largest divisions: Paint Stores five divisions: Paint Stores (branded retail locations), Consumer (paint sold through home and Consumer. improvement stores), Automotive (sales to auto manufacturers), International, and Administration. (Click the icon to view the information.) Read the requirements. Management has specified a 21% target rate of return. Data table Requirements 1. Calculate each division's ROI. Round all of your answers to four decimal places. 2. Calculate each division's profit margin ratio. Interpret your results. 3. Calculate each division's asset turnover ratio. Interpret your results. 4. Use the expanded ROl formula to confirm your results from Requirement 1. Interpret your results. 5. Calculate each division's RI. Interpret your results, and offer a recommendation for any division with negative RI. 6. Describe some of the factors that management considers when setting its minimum target rate of return
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