Use the following information for the Problems below: The following data pertain to three divisions of Nevada Aggregates, Incorporated. The company's required rate of return on invested capital is 8 percent. Sales revenue Income Average investment Sales margin Capital turnover ROI Residual income Sales revenue Income Average investment Sales margin Capital turnover ROI Residual income Division A ? $ 550,000 ? 40% 1 ? $ Division A 1,760,000 22 % Required: The following data pertain to three divisions of Nevada Aggregates, Incorporated. The company's required rate of return on invested capital is 10 percent. Note: Round "Capital turnover" answers to 2 decimal places. 1.00 % $ Division B $ 12,000,000 $ 2,090,000 $ 2,560,000 $ $ Division B 41,500,000 8,300,000 10,375,000 % % ? ? $ Division C ? ? $ 122,000 Division C ? 45% ? 30% 25 % 510,000 22 %

Use the following information for the Problems below: The following data pertain to three divisions of Nevada Aggregates, Incorporated. The company's required rate of return on invested capital is 8 percent. Sales revenue Income Average investment Sales margin Capital turnover ROI Residual income Sales revenue Income Average investment Sales margin Capital turnover ROI Residual income Division A ? $ 550,000 ? 40% 1 ? $ Division A 1,760,000 22 % Required: The following data pertain to three divisions of Nevada Aggregates, Incorporated. The company's required rate of return on invested capital is 10 percent. Note: Round "Capital turnover" answers to 2 decimal places. 1.00 % $ Division B $ 12,000,000 $ 2,090,000 $ 2,560,000 $ $ Division B 41,500,000 8,300,000 10,375,000 % % ? ? $ Division C ? ? $ 122,000 Division C ? 45% ? 30% 25 % 510,000 22 %

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter10: Evaluating Decentralized Operations

Section: Chapter Questions

Problem 16E

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