A company's division has sales of $2,530,000, income of $759,000, and everage assets of $2,300,000. Compute the division's profs margin, return on investment, and investment turnover. Compute the Division's Profit Margin Numerator: 7 Compute the Division's Return on investment. Numerator: Denominator: 1 1 1 mpute the Division's Investment Numerator: 1 Denominator Turnover. Denominator: . Profit Margin Profit margin Return on investment Profit margin . Investment Turnover Investment turnover

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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A company's division has sales of $2.530,000, income of $759,000, and average assets of $2,300,000. Compute the division's profit
margin, return on investment, and investment turnover.
Compute the Division's Profit Margin
Numerator:
Compute the Division's Return on investment.
Numerator:
Denominator:
1
7
1
1
/
Denominator:
Compute the Division's Investment Turnover.
Numerator:
Denominator:
Profit Margin
Profit margin
Return on investment
Profit margin
Investment Turnover
= Investment turnover
Transcribed Image Text:A company's division has sales of $2.530,000, income of $759,000, and average assets of $2,300,000. Compute the division's profit margin, return on investment, and investment turnover. Compute the Division's Profit Margin Numerator: Compute the Division's Return on investment. Numerator: Denominator: 1 7 1 1 / Denominator: Compute the Division's Investment Turnover. Numerator: Denominator: Profit Margin Profit margin Return on investment Profit margin Investment Turnover = Investment turnover
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