Question: Please help me answer this ASAP: Return on investment 40% Turnover 2.4 Margin 10% Sales $240,000 Average operating assets $60,000 Minimum required rate of return
Please help me answer this ASAP:
| Return on investment | 40% |
| Turnover | 2.4 |
| Margin | 10% |
| Sales | $240,000 |
| Average operating assets | $60,000 |
| Minimum required rate of return | 18% |
The residual income would be?
| Average operating assets | $1,116,000 |
| Total liabilities | $167,400 |
| Sales | $837,000 |
| Contribution margin | $502,200 |
| Net operating income | $167,400 |
Return on investment (ROI) would be?
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