The east Division of Mari Company reported the following data for the current year. Sales of $3,017,600, variable costs of $1,948,900, controllable fixed costs of $605,800, and average operating assets of $4,921,300. Why is top management unhappy with the east division? [General Accounting 6.7 - 7 PTS]
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The east Division of Mari Company reported the following data for the current year. Sales of $3,017,600, variable costs of $1,948,900, controllable fixed costs of $605,800, and average operating assets of $4,921,300. Why is top management unhappy with the east division? [General Accounting 6.7 - 7 PTS]
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- The West Division of Nieto Company reported the following data for the current year. Sales of $3,017,600, costs variable of$1,948,900, controllable fixed costs of $605,800, and average operating assets of $4,921,300. Why is top management unhappy with the west division?Dickonson Products is a division of a major corporation. The following data are for the last year of operations: Sales... $16,640,000 $399,360 Net operating income Average operating assets $4,000,000 The company's minimum required rate of return. 18% The division's residual income is closest to: Select one: a. $(320,640) b. $1,119,360 c. $399,360 d. $(2,595,840)Dacker Products is a division of a major corporation. The following data are for the most recent year of operations: Sales Net operating income Average operating assets $ 36,680,000 $ 2,908,960 $ 8,200,000 The company's minimum required rate of return The division's margin used to compute ROI is closest to: Multiple Choice о 30.3% 35.5% 22.4% о 7.9% 14%
- Delisa Corporation has two divisions: Division L and Division Q. Data from the most recent month appear below: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Multiple Choice The break-even in sales dollars for Division Q is closest to: $291,760 $211,027 $227,175 Total Company $ 510,000 312, 120 197,880 113,360 $395,760 84,520 65,040 $ 19,480 Division L $ 153,000 87,210 65,790 35, 280 $ 30,510 Division Q $ 357,000 224,910 132,090 78,080 $ 54,010Jemmott Corporation has two divisions: Western Division and Eastern Division. The following report is for the most recent operating period: Total Company Western Division Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Eastern Division $ 406,000 $ 188,000 $ 218,000 111,880 63,920 47,960 294,120 124,080 170,040 191,000 85,000 106,000 103,120 39,080 64,040 69,020 31,960 37,060 $ 34,100 $ 7,120 $ 26,980 The common fixed expenses have been allocated to the divisions on the basis of sales. The company's overall break-even sales is closest to: Multiple Choice $94,243 $271,743 $264,685 $358,929The west division of cecchetti corporation... financial accounting
- Delisa Corporation has two divisions: Division L and Division Q. Data from the most recent month appear below: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Multiple Choice The break-even in sales dollars for Division Q is closest to: O $266,820 $229,647 $196,879 Total Company $485,000 320,100 164,900 107,480 $329,800 Division L Divisi $318, 209, 108, 78, $ 30, $167,000 110,220 56,780 29,400 57,420 $ 27,380 51,860 $5,560Far Sight is a division of a major corporation. The following data are for the latest year of operations: Sales $24,480,000 Net operating Income $1,738,080 Average operating assets $6,000,000 The company’s minimum required rate of return 16% Required: a. What is the division's return on investment (ROI)?b. What is the division's residual income?Loon Products is a division of a major corporation. Last year the division had total sales of $11,650,000, net operating income of $1,141,700, and average operating assets of $3,495,000. The company's minimum required rate of return is 11%. 11 The division's residual income is closest to: А. $ 1,141,700 В. $ 757,250 (768,900) 1,526,150 None of the above C. $ D. $ Е.
- Coolbrook Company has the following information available for the past year: River Division Stream Division Sales revenue $ 1,209,000 $ 1,810,000 Cost of goods sold and operating expenses 900,000 1,286,000 Net operating income $ 309,000 $ 524,000 Average invested assets $ 1,200,000 $ 1,460,000 The company’s hurdle rate is 6.26 percent. Required: 1. Calculate return on investment (ROI) and residual income for each division for last year. (Enter your ROI answers as a percentage rounded to two decimal places, (i.e., 0.1234 should be entered as 12.34%.)) river steam ROI % % Residual income (loss) 2. Recalculate ROI and residual income for the division for each independent situation that follows: Operating income increases by 11 percent. (Enter your ROI answers as a percentage rounded to two decimal places, (i.e., 0.1234 should be entered as 12.34%.). Loss…A7Eacher Wares is a division of a major corporation. The following data are for the latest year of operations: Sales $14,720,000 Net operating income $1,000,960 Average operating assets $4,000,000 The company’s minimum required rate of return 14% a. What is the division's margin?b. What is the division's turnover?c. What is the division's return on investment (ROI)?d. What is the division's residual income?