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Acme Company has two divisions, North Division and South Div…
Acme Company has two divisions, North Division and South Division. In Year 6, the South Division reports a return on investment of 14% and sales of $750,000. In Year 7, the South Division reports a return on investment of 18%, operating income of $92,600, and a turnover of 1.20. The South Division’s margin in Year 7 is 80% of its margin in Year 6. What is the South Division’s operating income in Year 6?
Acme Company has two divisions, North Division and South Div…
Questions
Acme Cоmpаny hаs twо divisiоns, North Division аnd South Division. In Year 6, the South Division reports a return on investment of 14% and sales of $750,000. In Year 7, the South Division reports a return on investment of 18%, operating income of $92,600, and a turnover of 1.20. The South Division’s margin in Year 7 is 80% of its margin in Year 6. What is the South Division’s operating income in Year 6?