Essay
Gabbe Industries is a division of a major corporation. Last year the division had total sales of $8,910,000, net operating income of $962,280, and average operating assets of $3,000,000. The company's minimum required rate of return is 10%.Required:a. What is the division's margin?b. What is the division's turnover?c. What is the division's return on investment (ROI)?
Correct Answer:
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a. Margin = Net operating income ÷ Sales...View Answer
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