Accounting: What the Numbers Mean 11th Edition by Wayne McManus,Daniel Viele,David Marshall

Exercise 23

ROI analysis using the DuPont model
a. Firm A has a margin of 8%, sales of $630,000, and ROI of 16.8%. Calculate the firm's average total assets.
b. Firm B has net income of $246,400, turnover of 1.1, and average total assets of $1,600,000. Calculate the firm's sales, margin, and ROI. Round your percentage answer to one decimal place.
c. Firm C has net income of $43,500, turnover of 2.9, and ROI of 23.2%. Calculate the firm's margin, sales, and average total assets. Round your percentage answer to one decimal place.