Survey of Accounting (Accounting I)

8th Edition
Carl Warren
ISBN: 9781305961883



Survey of Accounting (Accounting I)

8th Edition
Carl Warren
ISBN: 9781305961883
Textbook Problem

To determine

Concept Introduction:

Profit Margins: It is a measure which is generally used by the organization to find out the best department in the organization in terms of profit. To calculate the profit margins divide the profits with sales.

Return on investment: In this we divide the total return or profit with the investment into the assets of organization. It is the best way of calculating the % of return in the business.

To Indicate:

Tell us the better method of evaluating the performance of the divisions and why the president is tense about the performance of the organization?


In return on investment we divide the profit by the total assets of the divisions it helps us to know about how much we are earning on our invested amount. This is better method to know the performance of the division because in profit...

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