|
Title: Gas Supply Corporation uses the investment center concept for the gasoline stations that it manages Post by: jerico on Mar 14, 2015 Gas Supply Corporation uses the investment center concept for the gasoline stations that it manages in the city. Consolidated has a 15% required rate of return on investment in order for a branch station to be viable. Select operating data for three of its stations for 2015 are as follows:
Maple Street Oak Street High Street Revenue $17,000,000 $13,500,000 $15,000,000 Operating assets 7,000,000 7,000,000 6,000,000 Net operating income 900,000 1,200,000 980,000 Required: a. Compute the return on investment for each station. b. Which station manager is doing best based only on ROI? Why? c. Are any of the stations in danger of being closed due to lack of performance? d. What other factors should be included when evaluating the managers? Title: Re: Gas Supply Corporation uses the investment center concept for the gasoline stations that it mana Post by: cyborg on Mar 15, 2015 Content hidden
Title: Re: Gas Supply Corporation uses the investment center concept for the gasoline stations that it manages Post by: jerico on Mar 23, 2015 Very happy to know people like you still exist. Really, without your help, I wouldn't understand the content one bit.
Title: Re: Gas Supply Corporation uses the investment center concept for the gasoline stations that it manages Post by: cyborg on Mar 23, 2015 Sweet, you're welcome.
|