Problem 1: Use the information shown below to calculate the profit margin, investment turnover, and rate of return on investment using the DuPont formula for the company in 2019 and 2020. Determine if changes in the rate of return on investment are favorable or unfavorable. Round answers to two decimal places.
2020 2019
Sales $ 456,000 $ 420,000
Income from operations 320,000 305,700
Invested assets 1,270,000 1,255,000