Question: Given the following division performance indicators, which is true? Division A B C Sales $ 500 Net profit $ 10 $ 20 Net assets $
Given the following division performance indicators, which is true?
| Division | |||||||||
| A | B | C | |||||||
| Sales | $ | 500 | |||||||
| Net profit | $ | 10 | $ | 20 | |||||
| Net assets | $ | 80 | |||||||
| Return on sales | 6.0 | % | 4.0 | % | |||||
| Asset turnover | 10 | 5 | |||||||
| Return on assets | 15.0 | % | |||||||
A's return on assets is double that of B
C is the best division at managing its assets
A's sales are 66.7% bigger than C's
B would benefit least from a 10% increase in sales
All of the above
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