Required information[The following information applies to the questions displayed below]The following Information is provided for each Investment CenterInvestment CenterCamerasPhonesComputersCompute return on Investment for each Investment center. Which center performed the best based on return on investment?Return onPerformanceInvestment Based on ROIIncome$6,500,0002,652,000850,000Complete this question by entering your answers in the tabs below.InveAverage Assets$ 29,300,00022,100,00014,800,000Compute return on investment for each investment center. (Round your final answer to 1 decimal place.)Return onInvestmentCamerasPhonesComputersIncome Average Accato$ 6,500,000 $ 29,300,0002,652,000 22,100,000850,00014,800,000< Return on investmentPerformance Based on ROI >

Return on investment is one of the profitability ratio which shows how much returns are generated on…

Required information [The following information applies to the questions displayed below] The following Information is provided for each Investment Center Investment Center Cameras Phones Computers Incone $6,500,000 2,652,000 850,000 Compute return on Investment for each Investment center. Which center performed the best based on return on investm Parformance Return on Investment Based on ROI Complete this question by entering your answers in the tabs below. Average Assets $ 29,300,000 22,100,000 14,800,000 Cameras Phones Computers Compute return on investment for each investment center. (Round your final answer to 1 decimal place.) Investment Center Return on Investment Income Average Assets $ 6,500,000 $29.300,000 2,652.000 850,000 22,100,000 14,800,000 < Return on investment % % % Performance Based on ROI >

Required information [The following information applies to the questions displayed below] The following Information is provided for each Investment Center Investment Center Cameras Phones Computers Incone $6,500,000 2,652,000 850,000 Compute return on Investment for each Investment center. Which center performed the best based on return on investm Parformance Return on Investment Based on ROI Complete this question by entering your answers in the tabs below. Average Assets $ 29,300,000 22,100,000 14,800,000 Cameras Phones Computers Compute return on investment for each investment center. (Round your final answer to 1 decimal place.) Investment Center Return on Investment Income Average Assets $ 6,500,000 $29.300,000 2,652.000 850,000 22,100,000 14,800,000 < Return on investment % % % Performance Based on ROI >

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

solution
Megamart provides the following information on its two investment centers. Investment Center Electronics Sporting goods Sales $ 63,460,000 19,050,000 Income $ 3,173,000 2,286,000 Average Assets $ 16,700,000 12,700,000 Exercise 22-10 (Algo) Computing return on investment and residual income; investing decision LO A1 1. Compute return on investment for each center. Using return on investment, which center is most efficient at using assets to generate income? 2. Assume a target income of 12% of average assets. Compute residual income for each center. Which center generated the most residual income? 3. Assume the Electronics center is presented with a new investment opportunity that will yield a 14% return on investment. Should the new investment opportunity be accepted? The target return is 12%.
For its three investment centers, Monty Company accumulates the following data. 11 $1,960,000 $3,920,000 Controllable margin 1,470,000 2,116,800 Average operating assets 4,900,000 7,840.000 Sales Compute the return on investment (ROI) for each center. Return on investment Madla % ||| $3,920,000 3,724,000 9,800,000 % 111
Consider the following data (in millions) from Trident Financial Incorporated, which has two main divisions, mortgage loans and consumer loans: Mortgage Consumer Loans Loans Average total assets Operating income Return on investment (ROI) $ 2,500 $ 530 $ 17,750 $ 2,485 21.20% 14.00% Required: 1. Based on ROI, which division is more successful? Mortgage loans Consumer loans 2. Trident uses residual income (RI) as a measure of the financial performance of its divisions. What is the RI for each division if the minimum desired rate of return is (a) 10%, (b) 15%, and (c) 20%? (Leave no cells blank. Negative amounts should be indicated by a minus sign. Enter your answers in millions.) Residual Income (RI) Mortgage Loans Consumer Loans (а) 10% |(b) 15% (c) 20%
The following information is related to the current operation of Kenanga Branch. Operating income 5,000,000 Sales revenue 62, 500,000 Average operating asset 25,000,000 Average balance in current liabilities 13,400,000 The management of the company has decided that the minimum return required is 11 percent. Residual income is another approach that can be used to measure performance of an investment centre. Define residual income and determine the residual income for Kenanga Branch.
For its three investment centers, Blue Spruce Company accumulates the following data: II II Sales $2,520,000 $5,040,000 $5,040,000 Controllable margin 1,827,000 2,620,800 4,662,000 Average operating assets 6,300,000 10,080,000 12,600,000 Compute the return on investment (ROI) for each center. II II The return on % % investment
Alpesh
Fill in the blanks in the schedule below for two separate Investment centers A and B. Note: Round your final answers to 1 decimal place. Investment Center B A Sales $ 10,400,000 Income $ 240,000 Average assets $ 1,200,000 Profit margin 8.0% Investment turnover Return on investment 20 12.0%
Investment Center Sales. Net income Average invested assets Profit margin Investment turnover Return on investment Profit Margin: Investment Center A B Investment Turnover: Investment Center A B Choose Numerator: Investment Center Use the information in the table above to compute each department's contribution to overhead (both in dollars and as a percent). (Round your final answers to 2 decimal places.) Return on investment: A B Choose Numerator: Choose Numerator: 1 A 1 $ $ 584,600 $1,580,000 ? 1 10% ? ?% B $12,200,000 $ $ 1 Choose Denominator: Choose Denominator: 1 Choose Denominator: ? ? ?% 1.3 13% = Profit Margin Profit margin 10.00 % % = Investment Turnover = Investment turnover 1.30 Return on investment = Return on investment % 13.00 %
Need help with this question
answer in text form please (without image)
es The Campus Division of All-States Bank has assets of $1,300 million. During the past year, the division had profits of $285 million. All- States Bank has a cost of capital of 6 percent. Ignore taxes. Required: a. Compute the divisional ROI for the Campus Division. (Enter your answer as a percentage rounded to 1 decimal place (i.e., 32.1).) Mc Graw Hill Divisional ROI b. Compute the divisional RI for the Campus Division. (Enter your answer in dollars, not in millions.) Divisional RI % Question 11 - Hom....