Reference no: EM132540251
Return on Investment, Margin, Turnover
Data follow for the Construction Division of D. Jack Inc.:
Year 1
Sales: $141,075,000
Operating Income: 9,801,000
Average operating assets: 354,375,000
Year 2
Sales :$178,475,000
Operating income: 8,923,750
Average operating assets: 365,062,500
If required, round your answers to two decimal places.
Required:
Question 1: Compute the margin (as a percent) and turnover ratios for each year.
Question 2: Compute the ROI (as a percent) for the Construction Division for each year. While calculating ROI use the rounded values that are obtained from part 1.