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  3. please answer 3a and 3b required information [th

please answer 3a and 3b Required information [The following information applies to the...

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Accounting

please answer 3a and 3b Required information
[The following information applies to the questions displayed below.]
The following data pertain to British Isles Aggregates Company, a producer of sand, gravel, and cement, for the year just
ended.
Sales revenue
Cost of goods sold
Operating expenses
Average invested capital
7,000,000
2,660,000
3,920,000
1,400,000
denotes the British pound sterling, the national monetary unit of Great Britain.
3-a. Assuming that the expenses and cost of goods sold are reduced in order to improve the firm's ROI to 35 percent, compute the
firm's new sales margin.
3-b. Show how the new sales margin and the old capital turnover together result in a new ROI of 35 percent.
Complete this question by entering your answers in the tabs below.
Assuming that the expenses and cost of goods sold are reduced in order to improve the firm's ROI to 35 percent, compute the
firm's new sales margin.
Note: Round your answers to 2 decimal places (i.e.,.1234 should be entered as 12.34).
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