Business, 12.04.2021 20:30 timithythaxton
Fitness Fanatics is a regional chain of health clubs. The managers of the clubs, who have authority to make investments as needed, are evaluated based largely on return on investment (ROI). The company's Springfield Club reported the following results for the past year:
Sales $ 790,000
Net operating income $ 18,960
Average operating assets $ 100,000
The following questions are to be considered independently.
Required:
1. Compute the Springfield club’s return on investment (ROI)
2. Assume that the manager of the club is able to increase sales by $70,000 and that, as a result, net operating income increases by $18,200. Further assume that this is possible without any increase in operating assets. What would be the club’s return on investment (ROI)?
3. Assume that the manager of the club is able to reduce expenses by $14,000 without any change in sales or operating assets. What would be the club’s return on investment (ROI)?
In addition of finding the ROI for each question, can you help me also to find the Margin and Turnover value for each question from 1-3 also?
Answers: 1
Business, 22.06.2019 12:20
Over the past decade, brands that were once available only to the wealthy have created more affordable product extensions, giving a far broader range of consumers a taste of the good life. jaguar, for instance, launched its x-type sedan, which starts at $30,000 and is meant for the "almost rich" consumer who aspires to live in luxury. by marketing to people who desire a luxurious lifestyle, jaguar is using:
Answers: 3
Business, 22.06.2019 12:30
True or false entrepreneurs try to meet the needs of the marketplace by supplying a service or product
Answers: 1
Business, 22.06.2019 14:20
Your uncle borrows $53,000 from the bank at 11 percent interest over the nine-year life of the loan. use appendix d for an approximate answer but calculate your final answer using the formula and financial calculator methods. what equal annual payments must be made to discharge the loan, plus pay the bank its required rate of interest
Answers: 1
Fitness Fanatics is a regional chain of health clubs. The managers of the clubs, who have authority...
Advanced Placement (AP), 17.08.2021 01:30
Mathematics, 17.08.2021 01:30
Mathematics, 17.08.2021 01:30
Computers and Technology, 17.08.2021 01:30
Mathematics, 17.08.2021 01:30