What are margin and turnover? Explain how these concepts can improve the evaluation of an investment center.
Answer to relevant QuestionsWhat are the three benefits of ROI? Explain how each benefit can lead to improved profitability. Refer to the information for East Mullett Manufacturing above. East Mullett Manufacturing earned operating income last year as shown in the following income statement: Sales ..................... $ 630,000 Cost of ...Pelak Company had sales of $ 30,000,000, expenses of $ 27,600,000, and average operating assets of $ 6,000,000. The following information pertains to Berting Inc. for last year: Beginning inventory in units .......... ...During its first year of operations, Sugarsmooth Inc. produced 55,000 jars of hand cream based on a formula containing 10 percent glycolic acid. Unit sales were 52,300 jars. Fixed overhead totaled $ 27,500 and was applied at ...What are ordering costs? Carrying costs? Give examples of each.
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