Evaluate the two divisions managerial performance

Assignment Help Managerial Accounting
Reference no: EM132536273

Sunrise has two divisions: East and Midwest. Sunrise has a minimum required rate of return of 8%. In 2019, the East division has average operating assets of 50 million, net operating income of $5 million, and sales of $100,000 million. In 2019, the Midwest division has average operating assets of 20 million, net operating income of $2.5 million, and sales of $25,000 million.

Question 1: Please use both ROI and the residual income model to evaluate these two divisions' managerial performance and provide comment on which manager performed better; use margin and turnover ratios to compare two divisions' operating strategies.

Reference no: EM132536273

Questions Cloud

Change in volume if it is heated : An aluminum sphere is 8.35 cm in diameter. What will be its % change in volume if it is heated from 30°C to 155°C?
How many pounds of silver should riding plan : The month to cover 10% of the next month's production requirements. How many pounds of silver should Riding plan on purchasing during the month of October?
Velocity of an object equal to its instantaneous velocity : Under what circumstances is the average velocity of an object equal to its instantaneous velocity?
Low-speed chairlifts with high-speed chairlifts : In comparing traditional low-speed chairlifts with high-speed chairlifts, assumptions have been made that the energy lost (efficiency)
Evaluate the two divisions managerial performance : Evaluate these two divisions' managerial performance and provide comment on which manager performed better; use margin and turnover ratios to compare
What is the power output of the speakers : What is the power output of the speakers, assuming a uniform, spherical spread of sound?
Implications of the burden of chronic disease : Discuss the short- and long-term implications of the burden of chronic disease among older adults relative to demographic
Job satisfaction and organizational commitment : Compare the difference between job satisfaction and organizational commitment.
What will be the change in barnes company net income : The company all of these parts it needs for $57 a unit. What will be the change in Barnes Company's net income if it accepts this offer?

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

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