Question

Return on investment The income from operations and the amount of invested assets in each division...

Return on investment

The income from operations and the amount of invested assets in each division of Beck Industries are as follows:

Income from Operations Invested Assets
Retail Division $67,200 $320,000
Commercial Division 136,800 720,000
Internet Division 125,800 740,000

a. Compute the return on investment for each division. (Round to the nearest whole number.)

Division Percent
Retail Division %
Commercial Division %
Internet Division %

b. Which division is the most profitable per dollar invested?

0 0
Add a comment Improve this question Transcribed image text
Answer #1

Solution a:

Return on investment
Particulars Choose Numerator / Choose denominator = Return on Investment
Formula Net Income / Average Invested Assets = Return on Investment
Retail Division $67,200.00 / $320,000.00 = 21.00%
Commericial division $136,800.00 / $720,000.00 = 19.00%
Internet division $125,800.00 $740,000.00 = 17.00%

Solution b:

Retail division is most profitable per dollar invested.

Add a comment
Know the answer?
Add Answer to:
Return on investment The income from operations and the amount of invested assets in each division...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Return on investment The income from operations and the amount of invested assets in each division...

    Return on investment The income from operations and the amount of invested assets in each division of Beck Industries are as follows: Income from Operations Invested Assets Retail Division $100,800 $480,000 Commercial Division 46,800 260,000 Internet Division 80,000 500,000 a. Compute the return on investment for each division. (Round to the nearest whole number.) Division Percent Retail Division % Commercial Division % Internet Division % b. Which division is the most profitable per dollar invested? Retail Division

  • Return on Investment The income from operations and the amount of invested assets in each division...

    Return on Investment The income from operations and the amount of invested assets in each division of Beck Industries are as follows: Income from Operations Invested Assets $134,400 $640,000 Retail Division Commercial Division 75,600 420,000 Internet Division 105,400 620,000 a. Compute the return on investment for each division. (Round to the nearest whole number.) Division Percent Retail Division Commercial Division Internet Division b. Which division is the most profitable per dollar invested?

  • Return on Investment The income from operations and the amount of invested assets in each division...

    Return on Investment The income from operations and the amount of invested assets in each division of Beck Industries are as follows: Income from Operations Invested Assets Retail Division $81,900 $390,000 Commercial Division 86,400 480,000 Internet Division 124,800 780,000 a. Compute the return on investment for each division. (Round to the nearest whole number.) Division Percent Retail Division Commercial Division Internet Division b. Which division is the most profitable per dollar invested?

  • Return on investment The income from operations and the amount of invested assets in each division...

    Return on investment The income from operations and the amount of invested assets in each division of Beck Industries are as follows: Income from Operations $143,000 Invested Assets $650,000 Retail Division Commercial Division Internet Division 202,500 132,300 810,000 490,000 a. Compute the return on investment for each division. (Round to the nearest whole number.) Division Percent Retail Division Commercial Division Internet Division b. Which division is the most profitable per dollar invested?

  • Return on Investment The income from operations and the amount of invested assets in each division...

    Return on Investment The income from operations and the amount of invested assets in each division of Beck Industries are as follows: Income from Operations Invested Assets Retail Division $110,000 $550,000 149,500 650,000 Commercial Division Internet Division 49,600 310,000 a. Compute the return on investment for each division. (Round to the nearest whole number.) Division Percent Retail Division Commercial Division Internet Division 55,000 X % 84,500 X % 18,600 X % b. Which division is the most profitable per dollar...

  • Return on investment The income from operations and the amount of invested assets in each division...

    Return on investment The income from operations and the amount of invested assets in each division of Beck Industries are as follows: Income from Operations Invested Assets Retail Division $66,000 $300,000 Commercial Division 87,500 350,000 Internet Division 75,600 420,000 a. Compute the return on investment for each division. (Round to the nearest whole number.) Division Percent Retail Division % Commercial Division % Internet Division %

  • 1. The income from operations and the amount of invested assets in each division of Beck...

    1. The income from operations and the amount of invested assets in each division of Beck Industries are as follows: Income from Operations Invested Assets Retail Division $115,900 $610,000 Commercial Division 61,600 280,000 Internet Division 184,000 800,000 a. Compute the return on investment for each division. (Round to the nearest whole number.) Division Percer Retail Division Commercial Division Internet Division 14. b. Which division is the most profitable per dollar invested?

  • Residual Income The income from operations and the amount of invested assets in each division of...

    Residual Income The income from operations and the amount of invested assets in each division of Beck Industries are as follows: Income from Operations Invested Assets Retail Division $136,800 $760,000 Commercial Division 128,000 800,000 Internet Division 156,200 710,000 Assume that management has established a 8% minimum acceptable return for invested assets. forn ia Residual Income The income from operations and the amount of invested assets in each division of Beck Industries are as follows: Income from Operations Invested Assets Retail...

  • Residual Income The income from operations and the amount of invested assets in each division of...

    Residual Income The income from operations and the amount of invested assets in each division of Beck Industries are as follows: Income from Operations Invested Assets Retail Division $97,200 $540,000 Commercial Division 67,200 420,000 Internet Division 167,200 760,000 Assume that management has established a 10% minimum acceptable return for inve a. Determine the residual income for each division. Retail Division Commercial Division Internet Division $167,200 $97,200 Income from operations Minimum acceptable income from operations as a percent of invested as...

  • Return on investment The operating income and the amount of invested assets in each division of...

    Return on investment The operating income and the amount of invested assets in each division of Conley Industries are as follows: Operating Income Invested Assets Retail Division Commercial Division Internet Division $9,600,000 12,100,000 $40,000,000 55,000,000 6,480,000 36,000,000 a. Compute the return on investment for each division Division Percent Retail Division Commercial Division Internet Division b. Which division is the most profitable per dollar invested? Residual Income The operating income and the amount of invested assets in each division of Conley...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT