Oriole produces and sells two products-aluminum and vinyl. Each of these products is made in a dedicated manufacturing facility, andthe product line managers are evaluated based on the product line's return on investment. The following data is from the most recentyear of operations,AluminumVinylSales$4,000,000$4,350,000Variable costs2,050,000 2,403,750Direct fixed costs1,520,0001,533,000Average assets2,000,0001,500,000(31)Your answer is correct.Calculate the margin and asset turnover for each product line. (Round answers to 2 decimal places, eg. 5.12 and 5,12%)AluminumVinylMargin10.75 %9.50 %2.002.90Your answer is correct.Calculate return on investment for each product line. (Round ROI to 2 decimal places, e.g. 5.12 %)AluminumVinylROI21.50 %27.55 %eTextbook and MediaAttempts: unlimitedBoth product line managers would like to improve their respective returns on investment, and each manager has a different ideaabout how to accomplish this. If the aluminum product line manager was able to increase sales volume such that the new assetturnover was 2.20 times, what would be the new operating income? (Round variable cost ratio to 2 decimal places, eg. 5.25 and finalanswers to 0 decimal places, eg. 12,500)Operating income $What would be the new return on investment? (Round ROI to 2 decimal places, e.g. 5.12%)New ROI(a2)

Margin is the measure of profitability of the business. It shows how much net income has been earned…

Oriole produces and sells two products-aluminum and vinyl. Each of these products is made in a dedicated manufacturing facility, al the product line managers are evaluated based on the product line's return on investment. The following data is from the most recent year of operations Aluminum Vinyl Sales $4,000,000 $4,350,000 Variable costs 2,050,000 2,403,750 Direct fixed costs 1,520,000 1,533,000 Average assets 2,000,000 1,500,000 (31) Your answer is correct. Calculate the margin and asset turnover for each product line. (Round answers to 2 decimal places, eg. 5.12 and 5,12%) Aluminum Vinyl Margin 10.75 % 9.50 % Acent turnoune 2.00 2.90

Oriole produces and sells two products-aluminum and vinyl. Each of these products is made in a dedicated manufacturing facility, al the product line managers are evaluated based on the product line's return on investment. The following data is from the most recent year of operations Aluminum Vinyl Sales $4,000,000 $4,350,000 Variable costs 2,050,000 2,403,750 Direct fixed costs 1,520,000 1,533,000 Average assets 2,000,000 1,500,000 (31) Your answer is correct. Calculate the margin and asset turnover for each product line. (Round answers to 2 decimal places, eg. 5.12 and 5,12%) Aluminum Vinyl Margin 10.75 % 9.50 % Acent turnoune 2.00 2.90

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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