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Required: The following data pertain to three divisions of Nevada Aggregates, Incorporated. The company's required rate of return on invested capital is 10 percent. Note: Round "Capital turnover" answers to 2 decimal places. Division A Division B Division C Sales revenue $ 7,500,000 $ 40,400,000 Income $ 1,650,000 $ 8,080,000 $ 891,000 Average investment $ 10,100,000 $ 4,050,000 Sales margin 22 % 20% 25 % Capital turnover 1.00 4.00 ROI Residual income % 80 % 22 % $ 7,070,000 $ 486,000

Required: The following data pertain to three divisions of Nevada Aggregates, Incorporated. The company's required rate of return on invested capital is 10 percent. Note: Round "Capital turnover" answers to 2 decimal places. Division A Division B Division C Sales revenue $ 7,500,000 $ 40,400,000 Income $ 1,650,000 $ 8,080,000 $ 891,000 Average investment $ 10,100,000 $ 4,050,000 Sales margin 22 % 20% 25 % Capital turnover 1.00 4.00 ROI Residual income % 80 % 22 % $ 7,070,000 $ 486,000

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Required: The following data pertain to three divisions of Nevada Aggregates, Incorporated. The company's required rate of return on invested capital is 10 percent. Note: Round "Capital turnover" answers to 2 decimal places.
 
Required: The following data pertain to three divisions of Nevada Aggregates, Incorporated. The company's required rate of return on invested capital is 10 percent. Note: Round "Capital turnover" answers to 2 decimal places. Division A Division B Division C Sales revenue $ 7,500,000 $ 40,400,000 Income $ 1,650,000 $ 8,080,000 $ 891,000 Average investment SA $ 10,100,000 $ 4,050,000 Sales margin 22% 20% 25 % Capital turnover 1.00 4.00 ROI Residual income % 80 % 22 % $ 7,070,000 $ 486,000
Transcribed Image Text:Required: The following data pertain to three divisions of Nevada Aggregates, Incorporated. The company's required rate of return on invested capital is 10 percent. Note: Round "Capital turnover" answers to 2 decimal places. Division A Division B Division C Sales revenue $ 7,500,000 $ 40,400,000 Income $ 1,650,000 $ 8,080,000 $ 891,000 Average investment SA $ 10,100,000 $ 4,050,000 Sales margin 22% 20% 25 % Capital turnover 1.00 4.00 ROI Residual income % 80 % 22 % $ 7,070,000 $ 486,000
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