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E10-4 Finding Unknowns Using Return on Investment, Profit Margin, Investment Turnover [LO 10-4] Krall Company recently...
E10-4 Finding Unknowns Using Return on Investment, Profit Margin, Investment Turnover [LO 10-4]
Krall Company recently had a computer malfunction and lost a
portion of its accounting records. The company has reconstructed
some of its financial performance measurements including components
of the return on investment calculations.
Required:
Help Krall rebuild its information database by completing the
following table: (Do not round your intermediate
calculations. Round your final answers to 2 decimal places, (i.e.
0.1234 should be entered as 12.34%.))
|
Solutions
Expert Solution
Solution:
| Return on Investment | Profit Margin | Investment Turnover | Operating Income | Sales Revenue | Average Invested Assets |
| 2.81% | 6.01% | 0.47 | $43,000.00 | $7,16,000.00 | $15,30,000.00 |
| 4.53% | 10.30% | 0.44 | $1,16,019.20 | $11,26,400.00 | $25,60,000.00 |
| 30.02% | 15.80% | 1.90 | $5,25,350.00 | $33,25,000.00 | $17,50,000.00 |
| 12.10% | 5.04% | 2.40 | $25,208.33 | $5,00,000.00 | $2,08,333.33 |
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Return on
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The manager of an
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of investment the investment center required. One way to measure
operating profit in relation to investment is a calculation called
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Problem: Return on Investment, margin, and turnover
Return on
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The manager of an
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Orange
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31
2013
2012
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600,000
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520,000
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$
415,000
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354,000
Selling and
administrative
$
120,800
$
114,600
Interest Expense
$
7,800
$
6,000
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