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Exercise 11-8 Computing and Interpreting Return on Investment (ROI) [LO11-1] Selected operating data for two...

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Accounting

Exercise 11-8 Computing and Interpreting Return on Investment (ROI) [LO11-1]

Selected operating data for two divisions of Outback Brewing, Ltd., of Australia are given below:

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Required:

1. Compute the rate of return for each division using the return on investment (ROI) formula stated in terms of margin and turnover.

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2. Which divisional manager seems to be doing the better job?

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