The Calculating Fashion Company Has Two Operating Divisions: North and South.The

question 102

Essay

The Calculating Fashion Company has two operating divisions: North and South.The following information was collected from its financial statements. $$\begin{array} { | l | r | r | } \hline & \text { North } & \text { South } \\\hline \text { Operating inc ome } & \$ 15,375 & \$ 9,160 \\\hline \text { Sales } & 90,100 & 128,445 \\\hline \text { Average operating assets } & 47,620 & 37,690 \\\hline\end{array}$$ Required:
Compute the following ratios for each division:
a.Profit margin
b.Asset turnover
c.Return on investment (ROI)

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Definitions:

Sympathetic Nervous System

A part of the autonomic nervous system responsible for the body's 'fight or flight' response, activating physiological changes during stress or danger.

Consciousness

The state or quality of awareness, or being aware of an external object or something within oneself.

Alcoholism

A chronic disease characterized by uncontrolled drinking and preoccupation with alcohol, affecting physical and mental health.

Disease Model

A model that views psychological disorders as similar to physical diseases, wherein symptoms result from underlying biological causes.