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Corporation provides business-to-business services on the Internet. Data concerning the most recent year appear below:

Sales $ 8,000,000
Net operating income $ 800,000
Average operating assets $ 3,200,000

Consider each problem below independently.

The entrepreneur who founded the company is convinced that sales will increase next year by 150% and that net operating income will increase by 400%, with no increase in average operating assets. What would be the company's margin, turnover and ROI?

 

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M940335

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