The Abs Shoppe is a regional chain of health clubs. The managers of the clubs, who have authority to make investments as needed, are evaluated based largely on return on investment (ROI). The Abs Shoppe reported the following results for the past year:
Assume that the manager of the club is able to reduce expenses by $3,480 without any change in sales or operating assets. What would be the club's margin, turnover and return on investment (ROI)?