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

Exercise 24

ROI analysis using the DuPont model
a. Firm D has net income of $61,750, sales of $1,625,000, and average total assets of $650,000. Calculate the firm's margin, turnover, and ROI.
b. Firm E has net income of $241,500, sales of $3,450,000, and ROI of 16.1%. Calculate the firm's turnover and average total assets.
c. Firm F has ROI of 15%, average total assets of $1,700,000, and turnover of 1.2. Calculate the firm's sales, margin, and net income. Round your answers to the nearest whole numbers.