Kase Tractor Company allows its divisions to operate as autonomous units. The operating data for 2009 follow:
Required:
a. Compute the return on sales for each division
b. Compute the return on investment for each division.
c. Which division manager is doing best? Why?
d. What other factors should be included when evaluating the managers?
For parts (b) and (c) income is defined as operating income.
Definitions:
Vena Cava
A large vein carrying deoxygenated blood into the heart, consisting of two main branches, the superior and inferior vena cava.
Arteriole Branch
A small branch of an artery leading into capillaries, responsible for regulating blood flow from arteries to capillaries.
Infarction
The blockage of blood flow to a specific organ or area of tissue, leading to the local demise of that tissue.
Severe Headache
A type of pain in the head that is intense and often debilitating.
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