Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. required information skip to question [the follo

Required information Skip to question [The following information applies to the questions displayed...

60.1K

Verified Solution

Question

Accounting

Required information

Skip to question

[The following information applies to the questions displayed below.]

Fitness Fanatics is a regional chain of health clubs. The managers of the clubs, who have authority to make investments as needed, are evaluated based largely on return on investment (ROI). The company's Springfield Club reported the following results for the past year:

Sales $ 820,000
Net operating income $ 22,140
Average operating assets $ 100,000

The following questions are to be considered independently.

2. Assume that the manager of the club is able to increase sales by $82,000 and that, as a result, net operating income increases by $6,724. Further assume that this is possible without any increase in average operating assets. What would be the clubs return on investment (ROI)? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

75 C 24 cm B Figure 2 2 14pts Using Figure 2 above find the...

Geometry
Q

In C language, Write a program called minishell that creates two child processes: one to execute 'ls -al'...

Programming
Q

9) Create a java programming where you will enter two numbers and create only one method,...

Programming
Q

What is the difference between static and kinetic friction. Define both, write their SI unit and...

Physics
Q

QUESTION 8 DOK 2 1 ALIGNED STANDARD 1 points What is one of the reasons...

Biology
Q

2 A linearly polarized electromagnetic wave given as E Eicos kz cot is incident normally...

Physics
Q

Use: Cknn!k! (n-k)!to solve the combination.How many different combinations ofsix people can sit in four...

Basic Math
Q

he nearest tenth and do not include units in your answer 12 14 16

Calculus
Q

6 What are the zeros of the polynomial function f x x 2x 16x 32

Algebra
Q

On July 1, 20X1, a machine is purchased at a cost of $20,000. Before the...

Accounting
Q

Debt canceled in a personal bankruptcy is taxable as cancellation of debt income to what...

Accounting
Q

A firm's value depends on its expected free cash flow and its cost of capital....

Finance