The following is data at one of the Main Branch Offices (KCU) of Bank DEF for 2019 and 2020:

Question:

a. What is KCU Bank DEF's Return On Investment (ROI) in 2020? Use DuPont Analysis (margin and turnover)!

b. How much is the Residual Income (RI) of KCU Bank DEF in 2020? (3%)

c. In your opinion, which one is more appropriate to use to assess division performance? ROI or RI? Explain!

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Operating assets Total assets Income Operational profit Net profit Required rate of return 2019 (Rp000) 8,580,700 10,340,400 6,770,800 1,360,600 2,680,500 7% 2020 (Rp000) 9,190,300 11550,600 7,690,200 1,950,900 3,210,400 8% Operating assets Total assets Income Operational profit Net profit Required rate of return 2019 (Rp000) 8,580,700 10,340,400 6,770,800 1,360,600 2,680,500 7% 2020 (Rp000) 9,190,300 11550,600 7,690,200 1,950,900 3,210,400 8%

Answer rating: 100% (QA)

a To calculate the Return on Investment ROI of KCU Bank DEF in 2020 using DuPont Analysis we need to ... View the full answer