Return on Investment Assignment | Homework For You

You must prepare a return on investment analysis for the regional manager of Fast & Great Burgers. This growing chain is trying to decide which outlet of two alternatives to open. The first location (A) requires a $500,000 investment and is expected to yield annual net income of $75,000. The second location (B) requires a $200,000 investment and is expected to yield annual net income of $44,000. Compute the return on investment for each Fast & Great Burgers alternative. Using return on investment as your only criterion, which location (A or B) should the company open? (The chain currently generates an 22% return on total assets.)Homework For You

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Complete this question by entering your answers in the tabs below.

  • Return on Investment
  • Choice of Location

Compute the return on investment for each Fast & Great Burgers alternative.

Return on Investment
Numerator / Denominator = ROI
/ = ROI
Location A
Location B
  • Return on Investment
  • Choice of Location
  • Complete this question by entering your answers in the tabs below.
  • Return on Investment
  • Choice of Location
  • Using return on investment as your only criterion, which location (A or B) should the company open?Get Finance homework help today

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