Shannon is a manager for Smith Corp., a factory that manufactures cotton scarves in a variety of colors and patterns. Her division is in charge of dying the fabric, and she would like to explore the possibility of replacing one of their machines. The current machine is attributed with $4,500 of sales, has $1,404 of operating expenses, and has a repair cost of $4,600. A new machine is estimated to generate $5,400 of sales, to have $2,560 of operating expenses, and has a cost of $4,850. What is the Return on Investment in each scenario?

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The Answer of Shannon is a manager for Smith Corp., a factory that manufactures cotton scarves in a variety of colors and patterns. Her division is in charge of dying the fabric, and she would like to explore the possibility of replacing one of their machines. The current machine is attributed with $4,500 of sales, has $1,404 of operating expenses, and has a repair cost of $4,600. A new machine is estimated to generate $5,400 of sales, to have $2,560 of operating expenses, and has a cost of $4,850. What is the Return on Investment in each scenario?

Shannon Is a Manager for Smith Corp