The Global Products Corporation has three subsidiaries. Sales Net income (after taxes) Assets a-1. What is the return on sales for each subsidiary? Note: Input your answers as a percent rounded to 2 decimal places. Medical Supplies Heavy Machinery Electronics O Medical Supplies O Electronics Medical Supplies Heavy Machinery $ 20,590,000 $ 5,140,000 1,830,000 697,000 19,900,000 8,450,000 a-2. Which subsidiary has the lowest return on sales? Heavy Machinery Return on Sales % % % Medical Supplies Heavy Machinery Electronics b-1. What is the return on assets for each subsidiary? Note: Input your answers as a percent rounded to 2 decimal places. Return on Assets % % % Electronics $ 4,190,000 364,000 3,860,000

FINANCIAL ACCOUNTING
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ISBN:9781259964947
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Chapter1: Financial Statements And Business Decisions
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3
bok
4
nt
b-1. What is the return on assets for each subsidiary?
Note: Input your answers as a percent rounded to 2 decimal places.
Medical Supplies
Heavy Machinery
Electronics
b-2. Which subsidiary has the highest return on assets?"
O Electronics
O Heavy Machinery
O Medical Supplies
Return on Assets
%
%
%
c. Compute the return on assets for the entire corporation.
Note: Input your answer as a percent rounded to 2 decimal places.
Return on assets
New return on assets
%
d. If the $8,450,000 investment in the heavy machinery division is sold off and redeployed in the medical supplies subsidiary at the
same rate of return on assets currently achieved in the medical supplies division, what will be the new return on assets for the entire
corporation?
Note: Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.
%
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Transcribed Image Text:3 bok 4 nt b-1. What is the return on assets for each subsidiary? Note: Input your answers as a percent rounded to 2 decimal places. Medical Supplies Heavy Machinery Electronics b-2. Which subsidiary has the highest return on assets?" O Electronics O Heavy Machinery O Medical Supplies Return on Assets % % % c. Compute the return on assets for the entire corporation. Note: Input your answer as a percent rounded to 2 decimal places. Return on assets New return on assets % d. If the $8,450,000 investment in the heavy machinery division is sold off and redeployed in the medical supplies subsidiary at the same rate of return on assets currently achieved in the medical supplies division, what will be the new return on assets for the entire corporation? Note: Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places. % Q Search < Prev 6 of 6 4 PRE Next > O
The Global Products Corporation has three subsidiaries.
Sales
Net income (after taxes)
Assets
Medical Supplies
Heavy Machinery
Electronics
a-1. What is the return on sales for each subsidiary?
Note: Input your answers as a percent rounded to 2 decimal places.
O Medical Supplies
O Electronics
Medical Supplies Heavy Machinery
$ 20,590,000
$5,140,000
1,830,000
19,900,000
a-2. Which subsidiary has the lowest return on sales?
Heavy Machinery
Return on Sales
%
%
%
Medical Supplies
Heavy Machinery
Electronics
697,000
8,450,000
b-1. What is the return on assets for each subsidiary?
Note: Input your answers as a percent rounded to 2 decimal places.
Return on Assets
%
%
%
Electronics
$ 4,190,000
364,000
3,860,000
Transcribed Image Text:The Global Products Corporation has three subsidiaries. Sales Net income (after taxes) Assets Medical Supplies Heavy Machinery Electronics a-1. What is the return on sales for each subsidiary? Note: Input your answers as a percent rounded to 2 decimal places. O Medical Supplies O Electronics Medical Supplies Heavy Machinery $ 20,590,000 $5,140,000 1,830,000 19,900,000 a-2. Which subsidiary has the lowest return on sales? Heavy Machinery Return on Sales % % % Medical Supplies Heavy Machinery Electronics 697,000 8,450,000 b-1. What is the return on assets for each subsidiary? Note: Input your answers as a percent rounded to 2 decimal places. Return on Assets % % % Electronics $ 4,190,000 364,000 3,860,000
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