Calculate the central division residual income

Assignment Help Accounting Basics
Reference no: EM132818468

The Central Division of AAA, Inc., has operating income of $64,000 on sales revenue of $640,000. Divisional operating assets are $320,000 and management of AAA has determined that a minimum return of 12% should be expected from all investments.

Problem (a.) Using the DuPont model, calculate the Central Division's margin, turnover, and ROI.

Problem (b.) Calculate the Central Division's residual income.

Reference no: EM132818468

Questions Cloud

What resources should be using to conform analysis : What resources should be using to conform analysis. For example one of the information that needs to be taken into consideration is analyze
Breakdown of the disaccharide maltose : Will sucrase also catalyze the breakdown of the disaccharide maltose? Briefly explain your answer.
What is the typical prognosis : Go to a reliable website (such as one ending in .gov, .edu or .org) to research a disease/health condition of your choice. Here are a few examples of reliable s
Name techniques might suggest for use in estimating company : Name three techniques you might suggest for use in estimating the company's cost function and describe the circumstances or factors associated
Calculate the central division residual income : Calculate the Central Division's residual income. The Central Division of AAA, Inc., has operating income of $64,000 on sales revenue of $640,000.
What is the cost of the new truck : What is the cost of the new truck? Please include a brief explanation of this cost. DCL Delivery Company traded in an old delivery truck
Provide the journal entry that mmp inc should make to record : MMP Inc. exchanged 500 common shares of Penguins Inc., Provide the journal entry that MMP Inc. should make to record this exchange.
Where is oxygen gas produced : Where is oxygen gas produced - we breath in? What light intensity and CO2 level do you think will maximize the rate of photosynthesis?
What cost should the land be recorded at : What cost should the land be recorded at? Morocco Corp. purchased land as a factory site for $250,000. They paid $10,000 to tear down two buildings

Reviews

Write a Review

Accounting Basics Questions & Answers

  Find which would not be considered an intangible asset

Determine Which of the following would not be considered an intangible asset? Franchise rights./ Copyrights./ Investments./ Trademarks

  Determine the amount allocated to each product

Determine the amount allocated to each product if the constant gross profit margin percentage method is used

  What were the most compelling topics learned in the course

What were the most compelling topics learned in this course? How did participating in discussions help your understanding of the subject matter? Is anything still unclear that could be clarified?

  Ogonquit operates five days per week with an average weekly

ogonquit operates five days per week with an average weekly payroll of 4150. ogonquit pays its employess every

  Penny works for a cake factory selling only cakes

Penny works for a cake factory selling only cakes.Whenever the shop offers a 10% discount the sales volume increases by 11%Penny believes the shop should offer a permanent 10% discount to increase sales.

  What is the appropriate journal entry for job

For job 836, direct labor hours were 700 for the month of December. What is the appropriate journal entry for job 836 for the month of December

  Prepare the relevant journal entries on the respective dates

Prepare the relevant journal entries on the respective dates, At what amount will Fuzzy Monkey report its investment in the December

  What amount of interest expense is accrued at december

On December 1, Victoria Company signed a 90-day, 4% note payable, with a face value of $7,800. What amount of interest expense is accrued at December

  Solve the value of a bond that matures in fifteen years

Solve the value of a bond that matures in 15 years and has a $1,000 par value. The annual coupon interest rate is 13 percent and the? market's

  Environmental consulting services for hayduke co

On December 31, 2015, Grouper Co. performed environmental consulting services for Hayduke Co. Hayduke was short of cash, and Grouper Co.

  What tax rate will apply to her capital gain

Amy, a single taxpayer,had a long-term capital gain of $12,000 from the sale of AT&T stocks. What tax rate will apply to her capital gain

  Record the collection of the lopez note at maturity

Record the collection of the Lopez note at its maturity in 2021. (Credit account titles are automatically indented when amount is entered.)

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd