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Problem12-37 - Turnover 5 x = EVA without investment EVA...

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Problem 12-37 Name: In the gray-shaded cells, enter the appropriate amounts or formulas. An asterisk (*) will appear in the column to the right of an incorrect amount. 1. / = ROI ROI of division without investment / Sales = Margin 2. Margin Sales = Turnover Turnover / Margin x Turnover = ROI ROI 3. / = ROI ROI of division with investment Do you think the divisional manager will approve the investment? (Key "Yes" or "No") / Sales = Margin 4. Margin Sales / = Turnover
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Unformatted text preview: Turnover 5.- ( x ) = EVA without investment EVA with investment Operating income Average operating assets Operating income Average operating assets Operating income Average operating assets Operating income Average operating assets After-tax income Percentage cost of capital Total capital employed Should the manager decide to make the knitting machine investment? (Key "Yes" or "No") EVA...
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