Rae Corporation has $100,000,000 in invested capital. The income (NOPAT) is $12,000,000. Sales were $240,000,000. The required return is 10%.
1. find out the ROI for Rae Corporation.
2. find out the profit margin for Rae Corporation.
3. find out the investment turnover for Rae Corporation.
4. find out the residual income for Rae Corporation.
5. Comment on the company's performance.