ACCT 421 Lecture Notes - Lecture 1: Vo2 Max, Blood Pressure, Strength Training
Get access
Related Documents
Related Questions
[The following informationapplies to the questions displayed below.] |
BusServ.com Corporation provides business-to-business serviceson the Internet. Data concerning the most recent year appearbelow: |
Sales | $ | 21,420,000 |
Net operatingincome | $ | 1,799,280 |
Average operatingassets | $ | 5,100,000 |
References
Section BreakExercise 11-6 Effects of Changesin Sales, Expenses, and Assets on ROI [LO1]
2.
value:
5.00 points
Required information
Exercise 11-6 Part 1
Required: | |
1. | Compute the company's return oninvestment (ROI). (Do not round intermediate calculations.Round your answer to 2 decimal places. Omit the "%" sign in yourresponse.) |
ROI | % |
References
eBook & Resources
WorksheetDifficulty: Easy
Exercise 11-6 Part 1Learning Objective: 11-01Compute return on investment (ROI) and show how changes in sales,expenses, and assets affect ROI.
Check my work
3.
value:
5.00 points
Required information
Exercise 11-6 Part 2
2. | The entrepreneur who founded the company is convinced that saleswill increase next year by 150% and that net operating income willincrease by 400%, with no increase in average operating assets.What would be the companyâs ROI? (Do not round intermediatecalculations. Round your answer to 2 decimal places. Omit the "%"sign in your response.) |
ROI | % |
References
eBook & Resources
WorksheetDifficulty: Easy
Exercise 11-6 Part 2Learning Objective: 11-01Compute return on investment (ROI) and show how changes in sales,expenses, and assets affect ROI.
Check my work
4.
value:
5.00 points
Required information
Exercise 11-6 Part 3
3. | The Chief Financial Officer of the company believes a morerealistic scenario would be a $6.0 million increase in sales,requiring an $1,755,000 increase in average operating assets, witha resulting $997,560 increase in net operating income. What wouldbe the companyâs ROI in this scenario? (Do not roundintermediate calculations. Round your answer to 2 decimal places.Omit the "%" sign in your response.) |
ROI | % |