Question

Required: a. Firm D has net income of $24,400, sales of $930,000, and average total assets of $545,000. Calculate the firm's margin, turnover, and ROI. b. Firm E has net income of $79,000, sales of $1,100,000, and ROI of 14%. Calculate the firm's turnover and average total assets. c. Firm F has ROI of 12.60%, average total assets of $1,759,800, and turnover of 1.80. Calculate the firm's sales, margin, and net income. Complete this question by entering your answers in the tabs below. Required A Required B Required C Firm E has net income of $79,000, sales of $1,100,000, and ROI of 14%. Calculate the firm's turnover and average total assets. (Do not round intermediate calculations. Round "Turnover" answer to 1 decimal place.) Turnover Average total assets

Answer 1

margin = net income / sales turnover = sales / average total assets ROI = net income / average total assets OR ROI = margin * turnover required A 2.62% margin = 24400 / 930000 = turnover = 930000/545000 = ROI = 24400/545000 = 1.71 4.48% required Bl average total assets = 79000/14% = turnover = 1100000/564285.71 = $5,64,285.71 1.9 required sales = 1759800 * 1.80 = margin = 12.60% / 1.80 = net income = 3167640 * 7% = $31,67,640.00 7.00% $2,21,734.80

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