Accounting

Comparative data on three companies in the same service industry are given below:

Company

Don't use plagiarized sources. Get Your Custom Essay on
Accounting
Just from $13/Page
Order Essay

A                     B                      C

Sales . . . . . . . . . . . . . . . . . . . . . . . .              $4,000,000      $1,500,000      $ ?

Net operating income . . . . . . . . . . . .            $ 560,000        $ 210,000        $ ?

Average operating assets . . . . . . . . .            $2,000,000      ?                      $3,000,000

Margin . . . . . . . . . . . . . . . . . . . . . . .              ?                      ?                      3.5%

Turnover . . . . . . . . . . . . . . . . . . . . . .             ?                      ?                      2

Return on investment (ROI) . . . . . . .             ?                      7%                   ?

 

Required:

1. What advantages are there to breaking down the ROI computation into two separate elements, margin and turnover?

 

2. Fill in the missing information above, and comment on the relative performance of the three companies in as much detail as the data permit. Make specific recommendations about how to improve the ROI.

Place Order
Grab A 14% Discount on This Paper
Pages (550 words)
Approximate price: -
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Try it now!

Grab A 14% Discount on This Paper

Total price:
$0.00

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.