6 value 1.70 points 3. The Chief Financial Officer of the company believes a mor

Question

6 value 1.70 points 3. The Chief Financial Officer of the company believes a more realistic scenario would be a $2,000,000 increase in sales, requiring a $60,000 increase in average operating assets, with a resulting $325,560 increase in net operating income. What would be the company's ROI in this scenario? (Round your Turnover answer to 2 decimal places. Round your Margin and ROI percentage answers to 2 decimal places (i.e., 0.1234 should be entered as 12.34).) Margin Turnover ROI References eBook &Resources; Worksheet Difficulty 2 Mediun

Explanation / Answer

Margin =Net operating income/sales

            = 325560 /2,000,000

           = .1628 or 16.28%

Turnover =Net sales /asset invested

      = 2000000/60000

       =33.33

ROI =net operating income /Asset

   = 325560/60000

   = 542.61%

Related Questions

Navigate

• Browse (All)
• Browse 6
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.