Exercise 11-9 (Algo) Return on Investment (ROI) and Residual Income Relations [LO11-1, LO11-2] A family friend has asked your help in analyzing the operations of three anonymous companies operating in the same service sector industry. Supply the missing data in the table below. (Loss amounts should be Indicated by a minus sign. Round your percentage answers to nearest whole percent and other amounts to whole dollars.) Sales Net operating income. Average operating assets Return on investment (ROI) Minimum required rate of return Percentage Dollar amount Residual income $ $ A 400,000 $ $ 164,000 18 % 15 % $ Company B 790,000 54,000 19 % 59,000 % $ $ S C 700,000 159,000 14% 4,000

Exercise 11-9 (Algo) Return on Investment (ROI) and Residual Income Relations [LO11-1, LO11-2] A family friend has asked your help in analyzing the operations of three anonymous companies operating in the same service sector industry. Supply the missing data in the table below. (Loss amounts should be Indicated by a minus sign. Round your percentage answers to nearest whole percent and other amounts to whole dollars.) Sales Net operating income. Average operating assets Return on investment (ROI) Minimum required rate of return Percentage Dollar amount Residual income $ $ A 400,000 $ $ 164,000 18 % 15 % $ Company B 790,000 54,000 19 % 59,000 % $ $ S C 700,000 159,000 14% 4,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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< ces A family friend has asked for your help in analyzing the operations of three anonymous companies. Required: Supply the missing data in the tabulation below: (Negative amounts should be indicated with a minus sign.) Sales Net operating income Average operating assets Return on investment Minimum required rate of return: Percentage Dollar amount Residual income (loss) $ 10,870,000 $ 4,120,000 17 % 15 % Company B $ 6,800,000 $ 240,000 $ 15 % 320,000 % C $ 9,400,000 $ 5,200,000 $ 23 % 156,000 %
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Subject:accounting
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