What would be the company roi in this scenario

Assignment Help Managerial Accounting
Reference no: EM132797992

Question - Dingdong Corporation provides digital doorbells and doorbell webcams. Data concerning the most recent year follow:

Sales $3,000,000

Net operating income 450,000

Average operating assets 1,800,000

Consider each question below independently. Carry out all computations to two decimal places.

1. Compute the company's ROI.

2. The entrepreneur who founded the company is convinced that sales will increase next year by 50% and that net operating income will increase as a result by 200%, with no increase in average operating assets. What would be the company's ROI?

3. The CEO believes a more realistic scenario would be a $1,000,000 increase in sales, requiring a $200,000 increase in average operating assets, with a resulting $150,000 increase in net operating income. What would be the company's ROI in this scenario?

Reference no: EM132797992

Questions Cloud

Calculate the cost of goods manufactured : The following data is from the accounting records of Padcore Ltd. for the year just ended: Calculate the cost of goods manufactured
What advantages do women have in nursing : What advantages do women have in nursing? What advantages do men have in the profession? What are the risks of being gender exclusive?
Example of a national sports policy for barbados : Give an example of a national sports policy for Barbados
Describe the social determinants of health : In thinking of five social determinants of health as identified in Healthy People 2020, identify the social determinants specifically that may be barriers.
What would be the company roi in this scenario : Dingdong Corporation provides digital doorbells and doorbell webcams. What would be the company ROI in this scenario
Conflict management strategies of compromising : How are they similar or different? Provide a personal example of how you have utilized or how you wold utilize each strategy.
Was your ethical knowledge based on virtue ethics : Describe your clinical situation and the ways of knowing that were used. Was your ethical knowledge based on virtue ethics, rules-based ethics, or both?
Input-based and outcome-based measures : The WHSMS based on unreliable information is not only a waste of time and resources but may have tragic outcomes as well.
Prepare journal entries pertaining to this transaction : The cost of meeting the warranty during 20X5, Prepare journal entries pertaining to this transaction for January 1, 20X5, and December 31, 20X5

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