ACC12 - 12-1Total...

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Unformatted text preview: 12-1Total CompanyWeedbanGreengrowSales$300,000$90,000$210,000Variable Expenses$183,000$36,000$147,000Contribution Margin$117,000$54,000$63,000Traceable fixed expenses per year$66,000$45,000$21,000Segment Margin$51,000$9,000$42,000Common Fixed Expenses$33,000Net Operating Income$18,00012-21.Margin = $600,000/$7,500,000 = .082.Turnover = $7,500,000/$5,000,000 = 1.53.ROI = .08*1.5 = .1212-3Residual income = 600,000 (2,800,000 * .18)Residual income = 600,000 504,000Residual income = 96,00012-51.OsakaYokohama210,000/3,000,000 = .07720,000/9,000,000 =.083,000,000/1,000,000 =39,000,000/4,000,000 =2.25Roi = .07*3 =.21Roi = .08*2.25.182. OsakaYokohamaRI = 210,000 (1,000,000 *.15) =60,000RI = 720,000 (4,000,000 *.15) =120,0004.No because its sales are much larger for Yokohama indicating that it is a much larger division and not better managed.12-131. NOI increase = 40% * $75,000 = $30,0002. A....
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This note was uploaded on 01/23/2012 for the course MGT 111 taught by Professor Unknown during the Spring '11 term at Washington State University .

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ACC12 - 12-1Total...

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