Pollux Company had the following income statement for last year: Sales $360,000 Less: Cost of goods sold 195,000 Gross margin $165,000 Less: Selling & administrative expense 78,600 Operating income $ 86,400 Beginning assets were $565,000 and ending assets were $597,000. What is ROI?
Pollux Company had the following income statement for last year: Sales $360,000 Less: Cost of goods sold 195,000 Gross margin $165,000 Less: Selling & administrative expense 78,600 Operating income $ 86,400 Beginning assets were $565,000 and ending assets were $597,000. What is ROI?
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter16: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 29E
Related questions
Question
Pollux Company had the following income statement for last year:
| Sales |
$360,000 |
| Less: Cost of goods sold |
195,000 |
| Gross margin |
$165,000 |
| Less: Selling & administrative expense |
78,600 |
| Operating income |
$ 86,400 |
Beginning assets were $565,000 and ending assets were $597,000.
What is ROI?
Expert Solution
Step 1
A ratio that shows the relationship between investments and net income of company is known as return on investments.
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College