Roastingpackaging and caf are both divisions of central


Question - Roasting/Packaging and Café are both divisions of Central Coffee Co. The following data are for the last year of operations: Packaging/ Roasting Café Net operating income Sales Average operating assets Minimum required rate of return $ 263,000 46,000 S 2,850,000 428,000 S 1,975,000 S 200,000 12% 12%

Required:

a. Compute each division's margin.

b. Compute each division's turnover.

c. Compute each division's return on investment (ROI).

d. Compute each division's residual income.

Solution Preview :

Prepared by a verified Expert
Accounting Basics: Roastingpackaging and caf are both divisions of central
Reference No:- TGS02698954

Now Priced at $25 (50% Discount)

Recommended (92%)

Rated (4.4/5)