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ZNet Co. is a web-based retail company. The company reports the following for 2017 Sales Operating income Average invested assets $ 8,900,000 4,272,000 17,800,000 The
ZNet Co. is a web-based retail company. The company reports the following for 2017 Sales Operating income Average invested assets $ 8,900,000 4,272,000 17,800,000 The company's CEO believes that sales for 2018 will increase by 10%, and both profit margin (%) and the level of average invested assets will be the same as for 2017. 1. Compute return on investment for 2017. 2. Compute profit margin for 2017. 3. If the CEO's forecast is correct, what will return on investment equal for 2018? 4. If the CEO's forecast is correct, what will investment turnover equal for 2018? Complete this question by entering your answers in the tabs below. Required 1Required 2 Required 3Required 4 Compute return on investment for 2017 Return on Investment hoose Numerator: Choose Denominator: Return on Investment Return on investment Profit Margin Choose Numerator: Choose Denominator: Profit Margin Profit margin Return on Investment Choose Numerator: Choose Denominator: Return on Investment Return on investment Investment Turnover Choose Numerator: Choose Denominator: Investment Turnover Investment turnover
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