Question: Exercise 1 1 - 1 2 ( Algo ) Effects of Changes in Profits and Assets on Return on Investment ( ROI ) [ LO

Exercise 11-12(Algo) Effects of Changes in Profits and Assets on Return on Investment (ROI)[LO11-1]
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Fitness Fanatics is a regional chain of health clubs that evaluates its club managers based on return on investment (ROI). The company's Springfield Club reported the following results for the past year:
Sales$ 820,000Net operating income$ 22,140Average operating assets$ 100,000
The following questions are to be considered independently.
Exercise 11-12 Part 2(Algo)
2. Assume the club manager can increase sales by $82,000 and net operating income by $6,724. Further assume this is possible without any increase in average operating assets. What would be the clubs return on investment (ROI)?
Note: Do not round intermediate calculations. Round your answer to 2 decimal places.
Note: Round your answer to 1 decimal place.
Compute the manufacturing cycle efficiency (MCE) for the quarter.
Note: Round your percentage answer to nearest whole percent.
What percentage of the throughput time was spent in nonvalue-added activities?
Note: Round your percentage answer to nearest whole percent.
Compute the delivery cycle time.
Note: Round your intermediate calculations and final answer to 1 decimal place.
If using Lean Production eliminates all queue time, what will be the new MCE?
Note: Do not round intermediate calculations. Round your percentage answer to 1 decimal place.

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