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value: 10.00 points A family friend has asked your help in analyzing the operati

ID: 2579051 • Letter: V

Question

value: 10.00 points A family friend has asked your help in analyzing the operations of three anonymous companies operating in the same service sector industry. Supply the missing data in the table below: (Loss amounts should be indicated by a minus sign. Enter your ROI and Rate of Return Percentage answers to the nearest percentage (i.e., 0.12 should be entered as 12).) Company $ 430,000 $660,000 53,000 $ 670,000 Sales Net operating income Average operating assets Return on investment (ROI) Minimum required rate of return $166,000 $ 149,000 171% 201% Percentage 171% 101% Dollar amount 48,000 Residual income 5,000

Explanation / Answer

Fill in the balanks :

Company A Company B Company C Sales 430000 660000 670000 Net operating income 28220 53000 19900 Average operating assets 166000 265000 149000 Return on investment 17% 20% 13% Minimum required rate of return Percentage 17% 18% 10% Dollar amount 28220 48000 14900 Residual income Nil 5000 5000