Return on invested capital roic measures the return on the


1. Return on Invested Capital (ROIC) measures the return on the capital invested in the Business. When calculating this ratio, which of the following should be placed in the numerator of the formula ?

2. Is return on sales or return on equity a better basis on which to compare the performance of Cavendish Cover Cottages ?

3. Using the financial data of the Cavendish Cove Cottages case study, calculate the Return on Equity (ROE) for 2008

4. Using the fiancial information from the case study and the information listed below, calculate the net margin:

2006 sales $ 158,375

2007 sales increased 24.31 %

2008 sales increased 6.92 %

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Financial Management: Return on invested capital roic measures the return on the
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