Allard, Inc., presented two years of data for its Frozen Foods Division and its Canned Foods Division.

Required:
1. Compute the ROI and the margin and turnover ratios for each year for the Frozen Foods Division.

2. Compute the ROI and the margin and turnover ratios for each year for the Canned Foods Division.
3. Explain the change in ROI from Year 1 to Year 2 for each division.
4. Which of the data analytic types—descriptive, diagnostic, predictive or prescriptive—is Allard using in comparing Year 1 to Year 2 for the ratios? Explain. 

Exhibits 2.5

Transcribed Image Text:

Frozen Foods Division: Sales Operating income Average operating assets Canned Foods Division: Sales Operating income Average operating assets Year 1 $6,000,000 420,000 4,000,000 Year 1 $2,400,000 120,000 1,000,000 Year 2 $6,200,000 434,000 4,000,000 Year 2 $2,600,000 117,000 1,000,000