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Question - Selected operating data on the two divisions of York Company are given below:
Division
Eastern Western
Sales $1,000,000 $1,750,000
Average operating assets $500,000 $500,000
Net operating income $90,000 $105,000
Property, plant, and equipment $250,000 $200,000
Compute the rate of return for each division using the return on investment (ROI) formula stated in terms of margin and turnover.
refer to the original data. assume that the company sold 18000 units last year. the sales manager is convinced that a
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