CommercialServices.com Corporation provides business-to-business services on the Internet. Data concerning the most recent year appear below: Sales $ 4,980,000 Net operating income $ 298,800 Average operating assets $ 830,000 The following questions are to be considered independently. Brewer 8e Rechecks 2019-01-10 3. The Chief Financial Officer of the company believes a more realistic scenario would be a $1,400,000 increase in sales, requiring a $166,875 increase in average operating assets, with a resulting $243,500 increase in net operating income. What would be the company’s ROI in this scenario? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Return on investment (ROI) %
CommercialServices.com Corporation provides business-to-business services on the Internet. Data concerning the most recent year appear below: Sales $ 4,980,000 Net operating income $ 298,800 Average operating assets $ 830,000 The following questions are to be considered independently. Brewer 8e Rechecks 2019-01-10 3. The Chief Financial Officer of the company believes a more realistic scenario would be a $1,400,000 increase in sales, requiring a $166,875 increase in average operating assets, with a resulting $243,500 increase in net operating income. What would be the company’s ROI in this scenario? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Return on investment (ROI) %
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The following information applies to the questions displayed below.]
CommercialServices.com Corporation provides business-to-business services on the Internet. Data concerning the most recent year appear below:
| Sales | $ | 4,980,000 |
| Net operating income | $ | 298,800 |
| Average operating assets | $ | 830,000 |
The following questions are to be considered independently.
Brewer 8e Rechecks 2019-01-10
3. The Chief Financial Officer of the company believes a more realistic scenario would be a $1,400,000 increase in sales, requiring a $166,875 increase in average operating assets, with a resulting $243,500 increase in net operating income. What would be the company’s ROI in this scenario? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
|
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