Consider the following data for three divisions of a company, X, Y, and Z: Divisional: Sales...
Consider the following data for three divisions of a company, X, Y, and Z: Divisional: X Y Z Sales $ 1,318,000 $ 947,000 $ 5,411,000 Operating Income 193,000 109,500 334,700 Investment in assets 476,700 435,500 4,500,200 The return on investment (ROI) for Division X is: Multiple Choice 7.4%. 11.6%. 25.1%. 31.3%. 40.5%.
Consider the following data for three divisions of a company, X, Y, and Z: Divisional: Sales Operating Income Investment in assets $1,468,000 $864,000 $4,601,000 219,400 181,400 233,700 560,500 747,300 2,307,300 The asset turnover (AT) for Division X is (rounded): Multiple Choice 0 0 0 0 0
Consider the following data for three divisions of a company, X, Y, and Z: Divisional: X Y Z Sales $ 1,494,000 $ 827,000 $ 4,912,000 Operating Income 180,200 49,500 247,600 Investment in assets 511,500 224,200 2,345,800 The return on sales (ROS) for Division Z is: Multiple Choice 5.0%. 10.6%. 6.0%. 12.1%. 22.1%.
Consider the following data for three divisions of a company, X, Y, and Z: Divisional: X Y Z Sales $ 1,398,000 $ 840,000 $ 4,452,000 Operating Income 159,700 99,300 218,600 Investment in assets 336,700 393,800 2,742,700 The asset turnover (AT) for Division Y is calculated to be (rounded): Multiple Choice 2.28. 2.33. 2.13. 4.15. 2.92.
Consider the following data from two divisions of a company. P and Q. Divisional Sales Operating Income Investment $1,500,000 $ 1,700,000 $ 600,000 $ 680,000 $1,950,000 $ 2,210,000 if the minimum rate of return is 8%, what is Division P's residual income (RI? Multiple Choice $444,000. C) $756.000 o $1,344,000 1452
Consider the following data from two divisions of a company, P and Q: Divisional P Q Sales $ 1,000,000 $ 1,700,000 Operating Income $ 600,000 $ 680,000 Investment $ 1,700,000 $ 2,040,000 If the minimum rate of return is 10%, what is Division P's residual income (RI)? Multiple Choice $430,000. $770,000. $830,000. $940,000. $1,640,000.
Consider the following data from two divisions of a company, P and Q: Divisional Sales Operating Income Investment P $ 792,000 $ 526,500 $ 360,000 $ 351,000 $ 4,500,000 $3,900,000 If both divisions were presented with an opportunity to invest in a project that is estimated to achieve an ROI of 8%, what will the units likely decide?
Y and Z are two divsons of a large company that operate in similar markets. Division Y represents the original manufacturing trade of the business but Division Z is a relatively new service/maintenance business and has seen considerable growth in its first two years of operation. The divisions are treated as investment centres and every month they each prepare an operating statements for these two divisions for October are shown below: statement to be submitted to the parent company. Operating...
13. The following information pertains to the three divisions of Marlow Company: Division Z Division Y Division X $1,250,000 $75,000 Sales ? ? Net operating income $36,000 $25,000 Average operating $300,000 ? ? assets Return on ? 20% 15% investment Margin 0.10 0.05 ? Turnover 1.2 ? ? Target ROI 15% 12% 10% What is the residual income for Division X? А. $36,000 $45,000 $(9,000) $(36,000) В. С. D. The Auto Division of a department store had a net operating...
Selected operating data for two divisions of Outback Brewing, Ltd., of Australia are given below: DivisionQueenslandNew South WalesSales$ 928,000$ 1,479,000Average operating assets$ 580,000$ 493,000Net operating income$ 74,240$ 73,950Property, plant, and equipment (net)$ 243,000$ 193,000 Required:1. Compute the rate of return for each division using the return on investment (ROI) formula stated in terms of margin and turnover.2. Which divisional manager seems to be doing the better job?