t3 of 3 ipped ook nt Required information Exercise 10-13 (Algo) Effects of Changes in Sales, Expenses, and Assets on ROI [LO10-1] [The following information applies to the questions displayed below.] CommercialServices.com Corporation provides business-to- business services on the Internet. Data concerning the most recent year appear below: Sales Net operating income Average operating assets $ 4,740,000 $ 189,600 $ 790,000 The following questions are to be considered independently. nces Exercise 10-13 Part 3 (Algo) 3. The Chief Financial Officer of the company believes a more realistic scenario would be a $1,200,000 increase in sales, requiring a $695,000 increase in average operating assets, with a resulting $107,400 increase in net operating income. What would be the company's ROI in this scenario? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Return on investment (ROI) %
t3 of 3 ipped ook nt Required information Exercise 10-13 (Algo) Effects of Changes in Sales, Expenses, and Assets on ROI [LO10-1] [The following information applies to the questions displayed below.] CommercialServices.com Corporation provides business-to- business services on the Internet. Data concerning the most recent year appear below: Sales Net operating income Average operating assets $ 4,740,000 $ 189,600 $ 790,000 The following questions are to be considered independently. nces Exercise 10-13 Part 3 (Algo) 3. The Chief Financial Officer of the company believes a more realistic scenario would be a $1,200,000 increase in sales, requiring a $695,000 increase in average operating assets, with a resulting $107,400 increase in net operating income. What would be the company's ROI in this scenario? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Return on investment (ROI) %
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![t3 of 3
ipped
ook
nt
Required information
Exercise 10-13 (Algo) Effects of Changes in Sales,
Expenses, and Assets on ROI [LO10-1]
[The following information applies to the questions displayed below.]
CommercialServices.com Corporation provides business-to-
business services on the Internet. Data concerning the most recent
year appear below:
Sales
Net operating income
Average operating assets
$ 4,740,000
$ 189,600
$ 790,000
The following questions are to be considered independently.
nces
Exercise 10-13 Part 3 (Algo)
3. The Chief Financial Officer of the company believes a more realistic scenario
would be a $1,200,000 increase in sales, requiring a $695,000 increase in average
operating assets, with a resulting $107,400 increase in net operating income. What
would be the company's ROI in this scenario? (Do not round intermediate
calculations. Round your answer to 2 decimal places.)
Return on investment (ROI)
%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F04546f1a-deba-4657-9e8f-0be10eadf7c6%2F2975c0f5-30e2-4568-af8e-3e829408a785%2Fcmhbwgar_processed.png&w=3840&q=75)
Transcribed Image Text:t3 of 3
ipped
ook
nt
Required information
Exercise 10-13 (Algo) Effects of Changes in Sales,
Expenses, and Assets on ROI [LO10-1]
[The following information applies to the questions displayed below.]
CommercialServices.com Corporation provides business-to-
business services on the Internet. Data concerning the most recent
year appear below:
Sales
Net operating income
Average operating assets
$ 4,740,000
$ 189,600
$ 790,000
The following questions are to be considered independently.
nces
Exercise 10-13 Part 3 (Algo)
3. The Chief Financial Officer of the company believes a more realistic scenario
would be a $1,200,000 increase in sales, requiring a $695,000 increase in average
operating assets, with a resulting $107,400 increase in net operating income. What
would be the company's ROI in this scenario? (Do not round intermediate
calculations. Round your answer to 2 decimal places.)
Return on investment (ROI)
%
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