Use the DuPont formula to compute the return on investment, and show (a) the profit margin, (b) the investment turnover, and (c) the return on investm Round answers to one decimal place. a. Profit margin b. Investment turnover c. Return on investment % %

Use the DuPont formula to compute the return on investment, and show (a) the profit margin, (b) the investment turnover, and (c) the return on investm Round answers to one decimal place. a. Profit margin b. Investment turnover c. Return on investment % %

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter10: Evaluating Decentralized Operations

Section: Chapter Questions

Problem 4BE: Profit margin, investment turnover, and ROI Briggs Company has operating income of 36,000, invested...

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Question

Bottlebrush Company has operating income of $77,805, invested assets of $117,000, and sales of $409,500.
Use the DuPont formula to compute the return on investment, and show (a) the profit margin, (b) the investment turnover, and (c) the return on investment
Round answers to one decimal place.
a. Profit margin
b. Investment turnover
c. Return on investment
%
%

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