Question: Selected operating data for two divisions of Outback Brewing, Ltd., of Australia are given below: Division Queensland New South Wales Sales $ 2,079,000 $ 3,224,000
Selected operating data for two divisions of Outback Brewing, Ltd., of Australia are given below:
| Division | ||||
| Queensland | New South Wales | |||
| Sales | $ | 2,079,000 | $ | 3,224,000 |
| Average operating assets | $ | 630,000 | $ | 620,000 |
| Net operating income | $ | 166,320 | $ | 209,560 |
| Property, plant, and equipment (net) | $ | 263,000 | $ | 213,000 |
| Required: | |
| 1. | Compute the rate of return for each division using the return on investment (ROI) formula stated in terms of margin and turnover. (Round your answers to 2 decimal places.) |
Selected operating data for two divisions of Outback Brewing, Ltd., of Australia are given below: DivisionQueensland New South WalesSales $ 2,079,000 $ 3,224,000 Average operating assets $ 630,000 $ 620,000Net operating income $ 166,320 $ 209,560Property, plant, and equipment (net) $ 263,000 $ 213,000Required: 1. Compute the rate of return for each division using the return on investment (ROI) formula stated in terms of margin and turnover. (Round your answers to 2 decimal places.)
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts