14-04Pr_5e_s

Survey of Accounting (Available Titles Cengagenow)

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Problem 14-4 Name: Section: Score: 0% Answers are entered in the cells with gray backgrounds. Cells with non-gray backgrounds are protected and cannot be edited. A red asterisk (*) wil appear in the row immediately to the right of an incorrect answer. 1. Rate of return on = Profit margin x Investment turnover investment (ROI) Rate of return on = Income from operations x Sales investment (ROI) Sales Invested Assets Snowboard Division: ROI = x = 2. NEW WAVE RIDES INC.—SNOWBOARD DIVISION Estimated Income Statements For the Year Ended December 31, 2010 Proposal 1 Proposal 2 Proposal 3 Sales Cost of goods sold Gross profit Operating expenses Income from operations Invested assets 3. Rate of return on = Profit margin x Investment turnover investment (ROI) Rate of return on = Income from operations x Sales investment (ROI) Sales Invested Assets Proposal 1: ROI = x = Proposal 2: ROI = x = Proposal 3: ROI = x = 4. Proposal meeting the required rate of return:
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14-04Pr_5e_s - Problem 14-4 Name: Section: Score: 0%...

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