Dvisionat inpome statements and return on investment analysis E.F. Lynch Company is a
diversified investment company with three operating divisions organized as investment centers.
Condensed data taken from the records of the three divisions for the year ended June 30,20yg,
are as follows: The management of E.F. Lynch Company is evaluating ebch division as a basis
for planning a future exponsion of operations. Required 1. Prepare condensed divisional income
statements for the three divisions, assuming that there were no support department allocations. 2.
Using the Dupont formula for retum on investment, compute the profit margin, investment
turnover, and return on investrment for each division. Round your answers to one decimal place.
3 more Check My Work was remaining
The management of E. F. tynch Company is evaluating each division as a basis for plonning a
future expanision of operations: Required: 1. Prepare condensed divisional income statements for
the three divisions, assuming that there were no support department allocations. 2. Using the
DuPont formula for return on investment, compute the profit margin, investment turnover, and
return on Investment for each divisian. Round your answers to one decimal place. 3. When faced
with fimited funds for expansion, management should consider an expansion of the 3 more
Check My Work uses remaining.
Dvisionat inpome statements and return on investment analysis E.F. Ly.pdf
1. Dvisionat inpome statements and return on investment analysis E.F. Lynch Company is a
diversified investment company with three operating divisions organized as investment centers.
Condensed data taken from the records of the three divisions for the year ended June 30,20yg,
are as follows: The management of E.F. Lynch Company is evaluating ebch division as a basis
for planning a future exponsion of operations. Required 1. Prepare condensed divisional income
statements for the three divisions, assuming that there were no support department allocations. 2.
Using the Dupont formula for retum on investment, compute the profit margin, investment
turnover, and return on investrment for each division. Round your answers to one decimal place.
3 more Check My Work was remaining
The management of E. F. tynch Company is evaluating each division as a basis for plonning a
future expanision of operations: Required: 1. Prepare condensed divisional income statements for
the three divisions, assuming that there were no support department allocations. 2. Using the
DuPont formula for return on investment, compute the profit margin, investment turnover, and
return on Investment for each divisian. Round your answers to one decimal place. 3. When faced
with fimited funds for expansion, management should consider an expansion of the 3 more
Check My Work uses remaining
