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MARGIN, TURNOVER, RETURN ON INVESTMENT
Pelak Company had sales of $350,000, expenses of $315,000, and average operating assets of $140,000.
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- During the current year. Plainfield Manufacturing earned income of $845,000 from total sales of $9,350,000 and average capital assets of $13,500,000. What is the sales margin?During the current year, Sokowski Manufacturing earned income of $350,000 from total sales of $5,500,000 and average capital assets of $12,000,000. A. Based on this information, calculate asset turnover. B. Using the sales margin from the previous exercise, what is the total ROI for the company during the current year?During the current year, Sokowski Manufacturing earned income of $350,000 from total sales of $5,500,000 and average capital assets of $12,000, 000. What is the sales margin?
- Margin, Turnover, Return on Investment, Average Operating Assets Elway Company provided the following income statement for the last year: At the beginning of last year, Elway had 28,300,000 in operating assets. At the end of the year, Elway had 23,700,000 in operating assets. Required: 1. Compute average operating assets. 2. Compute the margin and turnover ratios for last year. (Note: Round the answer for margin ratio to two decimal places.) 3. Compute ROI. (Note: Round answer to two decimal places.) 4. CONCEPTUAL CONNECTION Briefly explain the meaning of ROI. 5. CONCEPTUAL CONNECTION Comment on why the ROI for Elway Company is relatively high (as compared to the lower ROI of a typical manufacturing company).During the current year, Plainfield Manufacturing earned income of $845,000 from total sales of $9,350,000 and average capital assets of $13,500,000. Using the sales margin from the previous exercise, what is the total ROI for the company during the current year?Bottlebrush Company has operating income of $77,805, invested assets of $117,000, and sales of $409,500. Use the DuPont formula to compute the return on investment, and show (a) the profit margin, (b) the investment turnover, and (c) the return on investment Round answers to one decimal place. a. Profit margin b. Investment turnover c. Return on investment % %
- Briggs Company has operating income of $45,760, invested assets of $143,000, and sales of $457,600. Use the DuPont formula to compute the return on investment. If required, round your answers to two decimal places. a. Profit margin % b. Investment turnover c. Return on investment %Chamberlain & Co. has income from operations of $232,800, invested assets of $970,000, and sales of $3,880,000. Use the Dupont formula to compute the return on investment and show a) the profit margin b) the investment turnover, and c) the return on investment.Mason Corporation had $1,162,000 in invested assets, sales of $1,265,000, operating income amounting to $208,000, and a desired minimum return on investment of 14%. The profit margin for Mason Corporation is Oa. 17.9% b. 14.0% Oc. 91.9% Od. 16.4%
- LaPlante Inc. has a profit margin of 14% and an investment turnover of 2. Sales revenue is $800,000. What is average invested assets?Bustmante company has income from operations of $64,800 invested assets of $540,000 and sales of $810,000. Use the DuPont formula to compute the return on investment and show (a) the profit margin (b) the investment turnover and (c) the return on investment.Margin, Turnover, Return on Investment Pelak Company had sales of $4,887,000, expenses of $4,443,000, and average operating assets of $4,840,000. Required: If required, round your answers to nearest whole value. 1. Compute the operating income. 2. Compute the margin (as a percent) and turnover ratio. If required, round your answers to one decimal place. Margin % Turnover 3. Compute the ROI as a percent. Use the part 2 final answers in these calculations and round the final answer to two decimal places. %