Solution-What would be effect of abc return on net

What would be effect of abc return on net operating assets

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Abc has annual sale of $200 millon and an assets turnover of 6 .it is contemplating whether to intimate a customer royalty program.abc currently has a profit margin of 1.8% on sales.its marketing research suggest that royalty program would increase sales by $47millon a year and would requires an additional investment in inventory of $3 million.additional cost to run the royality program would reduce its profit margin to 1.7%

what would be the effect of ABC return on net operating assets of adopting the proposed customer royalty program? Show detail calculation

Reference no: EM132524313

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What would be effect of abc return on net operating assets : what would be the effect of ABC return on net operating assets of adopting the proposed customer royalty program? Show detail calculation

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What would be effect of abc return on net operating assets

Reference no: EM132524313

Reference no: EM132524313

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