Adams Corporation evaluates divisional managers based on Return on Investment (ROI) and has provided the operating results of the NorthernDIVislon from last year. The Controller has asked you to compute the ROI and Residual Income based on data from last year and If the alvislonadds a new product line. Use the Information Included in the Excel Simulation and the Excel functions described below to complete the task.• Cell Reference: Allows you to refer to data from another cell in the worksheet. From the Excel Simulation below, if in a blank cell, "=G5" wasentered, the formula would output the result from cell G5, or 4.00 In this example.• Basic Math functions: Allows you to use the basic math symbols to perform mathematical functions. You can use the following keys: - (plussign to add), - (minus sign to subtract). * (asterisk sign to multiply), and (forward slash to divide). From the Excel Simulation below, If in ablank cell "=G5-G6" was entered, the formula would add the values from those cells and output the result, or 10.00 in this example. if usingthe other math symbols the result would output an approprlate answer for its function.• SUM function: Allows you to refer to multiple cells and adds all the values. You can add Individual cell references or ranges to utilize thisfunction. From the Excel Simulation below, if in a blank cell =SUM(G5,G6,G7)" was entered, the formula would output the result of addingthose three separate cells, or 12.00 In this example. Simlariy, If In a blank cell =SUM(G5:G7)" was entered, the formula would output thesame result of adding those cells, except they are expressed as a range In the formula, and the result would be 12.00 In this example.• IF function: Allows you to test a condition and return a specific value is the result is true and different value if the result is false. The syntaxof the IF function is "=F(test_condition,value_true,value__faise)" and specific considerations need to be made when using tnis functlon.The test conditzlon argument is an evaluatlon of the status of a cell, such as if the value of a cell is greater than, less than, or equal to anothernumber or cell The value_true and value_faise arguments wiIl return any specific result for each optlon, such as another cell reference.a value, or text. Throughout the entire equation, Iftext is belng used in the test condition, value_true, or value_faise arguments thenthe text Itseif should be entered In quotations so that Excel will recognize the text as a "string of text" Instead of another function. From theExcel Simulation below, If in a blank cell "=IF(G10>20. Total cost is High","Total cost Is low") was entered, the formula would output the resultof the value_true since the test.condition would be result as true, or In this case the text "Total cost is high". Excel processes the IFfunction by separating it out Into separate parts. First the test_condition - Excel thinks, find cell G10 and determine if the value is greaterthan 20. Once Excel determines if the result of that test condition is TRUE or FALSE, It wll return the value__true or value_faise.Return on Investment (ROI) and Residual Income - ExcelFLEINSERTPAGE LAYOUTFORMULASSign inHOMEDATAREVIEWVEWCalibri11A AAlignment Number Conditional Farmat as CellFormatting- Table - StylesPasteBIU-CellsClipboardFontStylesA1Adams Corporation evaluates divisional managers based on ROI. Operatingcompany's Northern Division for last year are given below:Sales27,000,000Variable penses16,200.000Cantribution margin10,800.000Fined expensesBR05.000Net operating income1995.00010Average divisional operating asseta500.0001112 The Northern Disjen has an opportunity to add a new product line at the beginning of the year as follons:11Average required investmentNet operating income2.500,0001415400,0001617 Adams Corporation's minimum acceptable rate of return1815%19 Compute the fallwing2021 Northern Division ROI for last year22Northern Division ROI il new product line is added2425 Write an Fstatement to determine whether the Northern Division26 manager will ACCEPT ar REECT the new product line based on ROL2718 Northern Division residual income for last yrar1930 Northern Division residual income if the new product line is added12 write an Fstatement to determine whether the Northern Division manager11 will ACCEPT or REJECT the new product ine based on residual incomeSheeti---READY曲10%Attempt(s)HintShow Me

Return on Investment/Residual Income ROI provide the profitability of any number of investments…

Adams Corporation evaluates divistonal managers based on Return on Investment (ROI) and nas provided the operating results of the Northern DIVision from last year. The Controller has asked you to compute the ROI and Residual Income based on data from last year and If the alvision adds a new product iine. Use the Information Included in the Excel Simulation and the Excel functions described below to complete the task. Cell Reference: Allows you to refer to data from anotner cell in the worksheet. From the Excel Simulation below, If in a blank cell, "G5" was entered, the formula would output tne result from cell G5, or 4.00 In this example. • Basic Math functions: Allows you to use the basic math symbols to perform mathematical functions. You can use the following keys: - (plus sign to add), - (minus sign to subtract). * (asterisk sign to multiply), and / (forward slash to divide). From the Excel Simulation below, If in a blank cell "G5-G6" was entered, the formula would add the values from those cells and output the result, or 10.00 in this example. If using the other math symbols the result would output an appropriate answer for Its function. • SUM function: Allows you to refer to muitiple cells and adds all the values. You can ada Individual cell references or ranges to utilie tnis function. From the Excel Simulation below, if in a blank cell SUMIG5,G6,G7)" was entered, the formula would output the result of adding those three separate cells, or 12.00 in this example. Simlariy. If in a blank cell SUMIGS:G7)" was entered, the formula would output the same result of adding those cells, except they are expressed as a range In the formula, and the result would be 12.00 In this example. • IF function: Allows you to test a conaition and return a specific value is the result is true and different value if the result is faise. The syntax of the IF function is "IF(test.condition,value_L_true,value_Ltaise" and specific considerations need to be made when using tnis function. The testcondition argument is an evaluation of the status of a cell, such as if the value of a cell is greater than, less than, or equal to another number or cell. The value_Ltrue and value_feise arguments will return any specific result for each optlon, such as anotner cell reference. a value, or text. Throughout the entire equation, Iftext is being used in the test condition, value_Ltrue, or value_faise arguments then the text itseif should be entered in quotations so that Excel will recognize the text as a "string of text" Instead of another function. From the Excel Simulation below, If in a blank cell "F(G10>20."Total cost is High","Total cost is low") was entered, the formula would output the result of the value_true since the test.condition would be result as true, or In this case the text "Total cost is high". Excel processes the IF function by separating it out Into separate parts. First the test_condition - Excel thinks, nd cell G10 and determine if the value is greater than 20. Once Excel determines if the result of that test.condition is TRUE or FALSE, It will return the value_true or value_faise. Rerturn on Investment (ROI) and Resical Income - Excel FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign in Calbri 11 Alignment Number Conditional Format as Cell Formatting Table Styles Paste BIU- Cells Clipboard Font Styles A1 Adams Corporatian evaluates divisional managers based on ROI. Operating company's Northern Division for last year are given below 27.000,000 16,200.000 10,00.000 Saes Variable penses Cuntributien margin Fied expenses Net operaing income 10 Average divisianal perating t 2 The Northern Dvisjen has an opportunity to add a new propuct he at the beginning of the yrat as fotons Average reued investment Net operting income 2.500,000 400,000 Adams Corporation's minimum aceptable rate of return Compule the fullwing 1 Northern Divisien ROI for last year Northern Divslen ROI It new praduct ne is aled 24 3 we anstatement to determine whether the Northen Divsion 20 manager will CCEPT ar RECT the new produet ine baed on RO n Northern Dison resitual income for last yrar 29 10 Northern Dsien resitual income it the nen product line is de wne anFstanement to desermine whether the Northern Dieskon maner will ACCEPT or REKCT the new product ine based on residual income Sheeti READY 10% Attempt(s) Hine Show Me

Adams Corporation evaluates divistonal managers based on Return on Investment (ROI) and nas provided the operating results of the Northern DIVision from last year. The Controller has asked you to compute the ROI and Residual Income based on data from last year and If the alvision adds a new product iine. Use the Information Included in the Excel Simulation and the Excel functions described below to complete the task. Cell Reference: Allows you to refer to data from anotner cell in the worksheet. From the Excel Simulation below, If in a blank cell, "G5" was entered, the formula would output tne result from cell G5, or 4.00 In this example. • Basic Math functions: Allows you to use the basic math symbols to perform mathematical functions. You can use the following keys: - (plus sign to add), - (minus sign to subtract). * (asterisk sign to multiply), and / (forward slash to divide). From the Excel Simulation below, If in a blank cell "G5-G6" was entered, the formula would add the values from those cells and output the result, or 10.00 in this example. If using the other math symbols the result would output an appropriate answer for Its function. • SUM function: Allows you to refer to muitiple cells and adds all the values. You can ada Individual cell references or ranges to utilie tnis function. From the Excel Simulation below, if in a blank cell SUMIG5,G6,G7)" was entered, the formula would output the result of adding those three separate cells, or 12.00 in this example. Simlariy. If in a blank cell SUMIGS:G7)" was entered, the formula would output the same result of adding those cells, except they are expressed as a range In the formula, and the result would be 12.00 In this example. • IF function: Allows you to test a conaition and return a specific value is the result is true and different value if the result is faise. The syntax of the IF function is "IF(test.condition,value_L_true,value_Ltaise" and specific considerations need to be made when using tnis function. The testcondition argument is an evaluation of the status of a cell, such as if the value of a cell is greater than, less than, or equal to another number or cell. The value_Ltrue and value_feise arguments will return any specific result for each optlon, such as anotner cell reference. a value, or text. Throughout the entire equation, Iftext is being used in the test condition, value_Ltrue, or value_faise arguments then the text itseif should be entered in quotations so that Excel will recognize the text as a "string of text" Instead of another function. From the Excel Simulation below, If in a blank cell "F(G10>20."Total cost is High","Total cost is low") was entered, the formula would output the result of the value_true since the test.condition would be result as true, or In this case the text "Total cost is high". Excel processes the IF function by separating it out Into separate parts. First the test_condition - Excel thinks, nd cell G10 and determine if the value is greater than 20. Once Excel determines if the result of that test.condition is TRUE or FALSE, It will return the value_true or value_faise. Rerturn on Investment (ROI) and Resical Income - Excel FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign in Calbri 11 Alignment Number Conditional Format as Cell Formatting Table Styles Paste BIU- Cells Clipboard Font Styles A1 Adams Corporatian evaluates divisional managers based on ROI. Operating company's Northern Division for last year are given below 27.000,000 16,200.000 10,00.000 Saes Variable penses Cuntributien margin Fied expenses Net operaing income 10 Average divisianal perating t 2 The Northern Dvisjen has an opportunity to add a new propuct he at the beginning of the yrat as fotons Average reued investment Net operting income 2.500,000 400,000 Adams Corporation's minimum aceptable rate of return Compule the fullwing 1 Northern Divisien ROI for last year Northern Divslen ROI It new praduct ne is aled 24 3 we anstatement to determine whether the Northen Divsion 20 manager will CCEPT ar RECT the new produet ine baed on RO n Northern Dison resitual income for last yrar 29 10 Northern Dsien resitual income it the nen product line is de wne anFstanement to desermine whether the Northern Dieskon maner will ACCEPT or REKCT the new product ine based on residual income Sheeti READY 10% Attempt(s) Hine Show Me

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter3: Data Visualization

Section: Chapter Questions

Problem 17P: The Northwest regional manager of Logan Outdoor Equipment Company has conducted a study to determine...

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