Please send answer in chart formatMegamart, a retailer of consumer goods, provides the following information on two of its departments (each considered an investment center). Investment CenterSales Income AverageInvested AssetsElectronics$39,840,000 $2,988,000 $16,600,000 Sporting goods 25,200,000 2,142,000 12,600,000 Compute profit margin and investment turnover for each department. Which department generates the most net income per dollar of sales? Which department is most efficient at generating sales from average invested assets? Profit MarginInvestmentTurnoverCompute profit margin for each department. Which department generates the most net income per dollar of sales?Profit MarginChoose Numerator:I Choose Denominator:Profit MarginInvestment CenterProfit MarginElectronics=Sporting Goods%3DWhich department generates the most net income per dollar of sales?< Profit MarginInvestment Turnover >InvestmentProfit MarginTurnoverCompute investment turnover for each department. Which department is most efficient at generating sales from averageinvested assets?Investment TurnoverChoose Numerator:I Choose Denominator:= Investment TurnoverInvestment CenterElectronicsSporting GoodsWhich department is most efficient at generating sales from average investedInvestment Turnoverassets?< Profit MarginInvestment Turnover

Profit Margin = Net income / Sales Investment Turnover = Sales / Average Invested Assets

Answered: Megamart, a retailer of consumer goods,…

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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Please send answer in chart format

Megamart, a retailer of consumer goods, provides the following information on two of its departments (each considered an investment center).

Investment Center	Sales		Income		Average Invested Assets
Electronics	$	39,840,000		$	2,988,000	$	16,600,000
Sporting goods		25,200,000			2,142,000		12,600,000

Compute profit margin and investment turnover for each department. Which department generates the most net income per dollar of sales? Which department is most efficient at generating sales from average invested assets?

Profit Margin
Investment
Turnover
Compute profit margin for each department. Which department generates the most net income per dollar of sales?
Profit Margin
Choose Numerator:
I Choose Denominator:
Profit Margin
Investment Center
Profit Margin
Electronics
=
Sporting Goods
%3D
Which department generates the most net income per dollar of sales?
< Profit Margin
Investment Turnover >
Investment
Profit Margin
Turnover
Compute investment turnover for each department. Which department is most efficient at generating sales from average
invested assets?
Investment Turnover
Choose Numerator:
I Choose Denominator:
= Investment Turnover
Investment Center
Electronics
Sporting Goods
Which department is most efficient at generating sales from average invested
Investment Turnover
assets?
< Profit Margin
Investment Turnover

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