The 4 firms concentration ratio for Company A is 15 %, Company B is 12 %, Company C is 40 %, Company D is 20 %, and Company G 2 % is 80% 70% 87% 78%
Q: ales P 10,000,000 Average invested capital…
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A: Return on Investment = ROI = 20% Asset turnover = at = 5
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A: MARGIN Income Margin is Computed by dividing Total Sales From Net Income. ROI Return of Income is…
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A: ROI: It is the total return generated from a project as compared to the cost of investment.
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A: Introduction:- The break-even point is the moment at which a company's revenues equal its costs. The…
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A: Return on Sales = Net Income/ Sales
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A: Return on investment = Net operating income / Average operating assets
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- 10q-9• The following are selected data for the division for the consumer products of ABC Corp for 2019: Sales 50,000,000 Average invested capital (assets) 20,000,000 Net income 2,000,000 Cost of capital 8% What is the amount of residual income for the division? 1. P 400,000 2. P 1,000,000 3. P 1,600,000 4. P 2,000,000 O 1 O 2 O 3 4The apparel industry consists of 10 companies from A to F. Calculate the 4-firm concentration ratio for this industry Company Sales $m: A $26 $6 C $17 D $13 $8 F $15 Next 4 (total) $12 Total $97
- Exercise 25.4 (Algo) ROI versus EVA Measures (LO25-2, LO25-3, LO25-4) Bailey uses ROI to measure the performance of its operating divisions and to reward its division managers. A summary of the annual eports from two of Bailey's divisions is shown provided below. The company's weighted-average cost of capital is 11 percent. Division A Division B $6,220,000 $4 650,000 $ 1,060,000 $ 8,530,000 $ 1,850,000 $ 1,182,100 Total assets Current liabilities After-tax operating income ROI 21% 13% a. Based on ROI, Division A generates more profit per dollar of invested capital than Division B. Compute the EVA for Division A and Division B. c. Suppose the manager of Division A was offered a one-year project that would increase her investment base by $340,000 and increase her divisional operating income by $34,000. Would she be motivated to invest in this project? Comple this question by entering your answers in the tabs below. Required A Required B Based on ROI, Division A generates more profit per…Selected sales and operating data for three divisions of different structural engineering firms are given as follows: Division A $ 12,480,000 $ 3,120,000 $ 561,600 8.00% Division B Division C Sales Average operating assets Net operating income Minimum required rate of return $ 28,480,000 $ 7,120,000 $ 512,640 $ 20,480, 000 $ 5,120,000 $ 532,480 10.40% 8.50% Required: 1. Compute the margin, turnover, and return on investment (ROI) for each division. 2. Compute the residual income (loss) for each division. 3. Assume that each division is presented with an investment opportunity that would yield a 9% rate of return. a. If performance is being measured by ROI, which division or divisions will probably accept the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept the opportunity? Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3A Req 3B Compute the margin, turnover, and return on investment…Division D of Saunders Company has sales of $350,000, cost of goods sold of $120,000, operating expenses of $58,000, and invested assets of $150,000. The profit margin for Division D is a. 49.1% b. 42.9% c. 83.4% d. 65.7%
- The following are selected data for the division for the consumer products of ABC Corp for 2020: Sales P 10,000,000 Average invested capital 4,000,000 Net Income 400,000 Cost of Capital 8% What is the amount of residual income for the division? 1. P 80,000 2. P 200,000 3. P 320,000 4. P 400,000 0 1 O 2 O 3 410 A. During the current year, Sokowski Manufacturing earned income of $472,336 from total sales of $6,392,895 and average capital assets of $11,938,481. What is the ROI? Round to the nearest to the hundredth, two decimal places and submit the answer in a percentage.The following data relates to the XYZ Corporation and its X Division. X Division sales P 8,000,000 X Division operating income P 480,000 X Division total assets P 2,000,000 X Division current liabilities P 600,000 Corporate target rate of return 14% Corporate weighted average cost of capital 10% Corporate effective tax rate 30% What is the X Divisions Economic Value Added (EVA)?
- Company A Company B Company C Sales $2,448,000 $1,665,000 Net operating income $318,240 $266,400 Average operating assets $1,530,000 $2,550,000 Margin 13 % 16 % 4 % Turnover 1.60 2.10 Return on investment (ROI) 0.21 % 8.00 % %The following data are for the Akron Division of Consolidated Rubber, Incorporated: Sales $ 750,000 Net operating income $ 45,000 Average operating assets $ 250,000 Stockholders' equity $ 75,000 Residual income $ 15,000 For the past year, the turnover used in ROI calculations wasVishu