Lasky Manufacturing has two divisions: Carolinas and Northeast. Lasky has a cost of capital of 7.5 percent. Selected financial information (in thousands of dollars) for the first year of business follows: Sales revenue Income Divisional assets (beginning of year) Current liabilities (beginning of year) R&D expendituresa aR&D is assumed to benefit two periods. All R&D is spent at the beginning of the year. Required: a-1. Evaluate the performance of the two divisions assuming Lasky uses return on investment (ROI). a-2. Which division had the better performance? Req A1 Complete this question by entering your answers in the tabs below. Divisions Carolinas $ 2,100 170 1,000 290 1,050 Req A2 Carolinas Northeast Northeast $ 6,600 372 1,500 290 970 Evaluate the performance of the two divisions assuming Lasky uses return on investment (ROI). Note: Enter your answers as a percentage rounded to 1 decimal place (i.e., 32.1). ROI % %
Lasky Manufacturing has two divisions: Carolinas and Northeast. Lasky has a cost of capital of 7.5 percent. Selected financial information (in thousands of dollars) for the first year of business follows: Sales revenue Income Divisional assets (beginning of year) Current liabilities (beginning of year) R&D expendituresa aR&D is assumed to benefit two periods. All R&D is spent at the beginning of the year. Required: a-1. Evaluate the performance of the two divisions assuming Lasky uses return on investment (ROI). a-2. Which division had the better performance? Req A1 Complete this question by entering your answers in the tabs below. Divisions Carolinas $ 2,100 170 1,000 290 1,050 Req A2 Carolinas Northeast Northeast $ 6,600 372 1,500 290 970 Evaluate the performance of the two divisions assuming Lasky uses return on investment (ROI). Note: Enter your answers as a percentage rounded to 1 decimal place (i.e., 32.1). ROI % %
Chapter12: Balanced Scorecard And Other Performance Measures
Section: Chapter Questions
Problem 6EA: During the current year, Sokowski Manufacturing earned income of $350,000 from total sales of...
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![Lasky Manufacturing has two divisions: Carolinas and Northeast. Lasky has a cost of capital of 7.5 percent. Selected financial
information (in thousands of dollars) for the first year of business follows:
Sales revenue
Income
Divisional assets (beginning of year)
Current liabilities (beginning of year)
R&D expendituresa
aR&D is assumed to benefit two periods. All R&D is spent at the beginning of the year.
Required:
a-1. Evaluate the performance of the two divisions assuming Lasky uses return on investment (ROI).
a-2. Which division had the better performance?
Req A1
Complete this question by tering your answers in the tabs below.
Carolinas
$ 2,100
170
1,000
290
1,050
Req A2
Which division had the better performance?
Carolinas
Northeast
Northeast
$ 6,600
372
1,500
290
970](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3eaabca7-e242-4401-b0e2-f0593dd35474%2F8693388a-5095-4892-82b0-136a9f0c9ae4%2Figjyjo_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Lasky Manufacturing has two divisions: Carolinas and Northeast. Lasky has a cost of capital of 7.5 percent. Selected financial
information (in thousands of dollars) for the first year of business follows:
Sales revenue
Income
Divisional assets (beginning of year)
Current liabilities (beginning of year)
R&D expendituresa
aR&D is assumed to benefit two periods. All R&D is spent at the beginning of the year.
Required:
a-1. Evaluate the performance of the two divisions assuming Lasky uses return on investment (ROI).
a-2. Which division had the better performance?
Req A1
Complete this question by tering your answers in the tabs below.
Carolinas
$ 2,100
170
1,000
290
1,050
Req A2
Which division had the better performance?
Carolinas
Northeast
Northeast
$ 6,600
372
1,500
290
970
![Lasky Manufacturing has two divisions: Carolinas and Northeast. Lasky has a cost of capital of 7.5 percent. Selected financial
information (in thousands of dollars) for the first year of business follows:
Sales revenue
Income
Divisional assets (beginning of year)
Current liabilities (beginning of year)
R&D expendituresa
aR&D is assumed to benefit two periods. All R&D is spent at the beginning of the year.
Required:
a-1. Evaluate the performance of the two divisions assuming Lasky uses return on investment (ROI).
a-2. Which division had the better performance?
Req A1
Complete this question by entering your answers in the tabs below.
Divisions
Carolinas
$ 2,100
170
1,000
290
1,050
Req A2
Carolinas
Northeast
Northeast
$ 6,600
372
1,500
290
970
Evaluate the performance of the two divisions assuming Lasky uses return on investment (ROI).
Note: Enter your answers as a percentage rounded to 1 decimal place (i.e., 32.1).
ROI
%
%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3eaabca7-e242-4401-b0e2-f0593dd35474%2F8693388a-5095-4892-82b0-136a9f0c9ae4%2Fhutg8yo_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Lasky Manufacturing has two divisions: Carolinas and Northeast. Lasky has a cost of capital of 7.5 percent. Selected financial
information (in thousands of dollars) for the first year of business follows:
Sales revenue
Income
Divisional assets (beginning of year)
Current liabilities (beginning of year)
R&D expendituresa
aR&D is assumed to benefit two periods. All R&D is spent at the beginning of the year.
Required:
a-1. Evaluate the performance of the two divisions assuming Lasky uses return on investment (ROI).
a-2. Which division had the better performance?
Req A1
Complete this question by entering your answers in the tabs below.
Divisions
Carolinas
$ 2,100
170
1,000
290
1,050
Req A2
Carolinas
Northeast
Northeast
$ 6,600
372
1,500
290
970
Evaluate the performance of the two divisions assuming Lasky uses return on investment (ROI).
Note: Enter your answers as a percentage rounded to 1 decimal place (i.e., 32.1).
ROI
%
%
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