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
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
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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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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