Cost Management: A Strategic Emphasis 5th Edition by David Stout, Edward Blocher, Gary Cokins

Exercise 23

Using the data from 19-21 above, compute King Mattresses’ total return on sales (ROS).

Step 1 of 2

Return on sales:

Return on sales is that sales from which a company is successfully turning its production into revenue. Return on sales can be determined by dividing net sales revenue from operating income. The better the return on sales, the better is it’s efficient.