Wednesday, 22 April 2015

The following data have been collected for the past two years for the Northern Division of Loring Company:

The following data have been collected for the past two years for the Northern Division of Loring Company:


2005 2006

Sales $50,000,000 $50,000,000

Operating Income 4,500,000 4,100,000

Average Operating Assets 25,000,000 25,000,000


REQUIRED:

1. COMPUTE THE MARGIN AND TURNOVER RATIOS FOR EACH YEAR.

2. COMPUTE THE ROI FOR EACH YEAR.

3. EXPLAIN WHY THE DIVISION EXPERIENCED A DECREASED A ROI FROM 2005 TO 2006.



The following data have been collected for the past two years for the Northern Division of Loring Company:

No comments:

Post a Comment