Question: I know the answer please show the work...thanks! 11) Lance Allot, vice-president of Arthur Industries, a computer manufacturer in England, has been trying to figure
I know the answer please show the work...thanks!
11) Lance Allot, vice-president of Arthur Industries, a computer manufacturer in England, has been trying to figure out whether one of his branch managers, Ms. Gwen, has been achieving the company-wide return on sales target of 20 percent. Mr. Allot has just been given data from his new target costing system regarding Ms. Gwen's operations. Ms. Gwen's estimated target sales volume is 30,000 computers with a target-selling price of $1,000. The data also show that Ms. Gwen's unit target cost is $750 per unit.
Required:
Help Mr. Allot determine whether Ms. Gwen's return on sales target has been met. In other words, what return on sales has Gwen achieved? (Ans: 25%)
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