Calculate the bonus award

Assignment Help Accounting Basics

Reference no: EM132464406

Question 1. Calculate the bonus award (as a percent of base salary) that would be given to the manager of each of the following four divisions under the proposednew bonus system. These divisions are representative of the range of divisions within IE.
($000)

Division	Budgeted Operating Profit	Budgeted Operating Assets	Actual Operating Profit	Actual Operating Assets
A	$1,000	$8,000	$1,150	$7,000
B	1,000	8,000	4,500	$7,000
C	50	1,000	300	800
D	(700)	4,000	(300)	4,200
E	600	2,000	100	1,800

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Reference no: EM132464406

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