Required information Exercise 11-16 (Algo) Effects of Changes in Sales, Expenses, and Assets on ROI [LO11-1] [The following information applies to the questions displayed below.] CommercialServices.com provides business-to-business services on the Internet. Data concerning the most recent year appear below: $ 3,720,000 $ 223,200 $ 930,000 The following questions are to be considered independently. Sales Net operating income Average operating assets Exercise 11-16 (Algo) Part 2 2. The entrepreneur who founded the company is convinced sales will increase next year by 50% and net operating income will increase by 310%, with no increase in average operating assets. What would be the company's ROI? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. Return on investment (ROI) %
Required information Exercise 11-16 (Algo) Effects of Changes in Sales, Expenses, and Assets on ROI [LO11-1] [The following information applies to the questions displayed below.] CommercialServices.com provides business-to-business services on the Internet. Data concerning the most recent year appear below: $ 3,720,000 $ 223,200 $ 930,000 The following questions are to be considered independently. Sales Net operating income Average operating assets Exercise 11-16 (Algo) Part 2 2. The entrepreneur who founded the company is convinced sales will increase next year by 50% and net operating income will increase by 310%, with no increase in average operating assets. What would be the company's ROI? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. Return on investment (ROI) %
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter12: Fainancial Statement Analysis
Section: Chapter Questions
Problem 87PSB
Related questions
Question
nik.9
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College