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Financial Analysis (Financial Management)

03/04/2020 Client: jessical Deadline: 2 Day

I HAVE ATTACHED A POWERPOINT FOR THIS SPECIFIC CHAPTER, I HAVE ALSO ATTACHED PICTURES OF A FEW PAGES IN MY TEXTBOOK THAT ARE RELATED TO THE QUESTIONS, ALSO A ATTACHMENT PICTURE OF THE QUESTIONS.






Q.1 Low Carb Diet Supplement Inc. has two divisions. Division A has a profit of $156,000 on sales of $2,010,000. Division B is able to make only $28,800 on sales of $329,000. Based on the profit margins (returns on sales), which division is superior?




Q.2. Database systems is considering expansion into a new product line. Assets to support expansion will cost $380,000. It is estimated that Database can generate $1,410,000 in annual sales, with an 8 percent profit margin. What would net income and return on assets (investment) be for the year?

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