Questions:
1. Ralston Company has income from operations of $75,000, invested assets of $360,000, and sales of $790,000.
Required:
Use the DuPont formula to calculate the rate of return on investment, and show (a) the profit margin, (b) the investment turnover, and (c) rate of return on investment.
Question-2
Dexter Company's costs were over budget by $56,000. The Dexter Company is divided in two regions. The first region's costs were over budget by $8,000.
Required:
Determine the amount that the second region's cost was over or under budget