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What were the sales for the Beta Division

What were the sales for the Beta Division
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Solution Guide / Answer Key:

ACCOUNTING

Multiple Choice

The top management at Munchie Company, a manufacturer of computer games, is attempting to recover from a flood that destroyed some of their accounting records. The main computer system was also severely damaged. The following information was salvaged:

 

                        Alpha Division            Beta Division  Gamma Division

            Sales    $2,500,000      (a)        $1,150,000

            Net operating income  $1,500,000      $650,000         $   575,000

            Operating assets          (b)        (c)        $   766,667

            Return on investment  0.25     0.15     (d)

            Return on sales            (e)        0.10     0.5

            Investment turnover    (f)        (g)        1.5

 

What were the sales for the Beta Division?

            a.         $4,333,333

            b.         $5,952,380

            c.         $6,500,000

            d.         $7,151,800

 

FILE: MS WORD

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