ABC Company has 3 vegetation across the United States in 3 various regions consisting of East, Central, and West. Closing twelve months, every plant bought modern equipment for his or her vegetation, and each plant earns the identical earnings of $200,000. Nonetheless, every plant required a certain funding in assets as follow:
Plant
Funding Quantity
East
$2,000,000
Central
$2,500,000
West
$1,600,000
Based on the info given, deal with the next duties:
1. Focus on about the consequence and the efficiency of every plant essentially essentially based on the earnings alone.
2. Compute and provide the return on funding (ROI) for every plant. Focus on about the motive of this calculation, and provide relate interpretation/evaluation of results (e.g., which plant is doing better/worse, which plant is utilizing equipment extra successfully, etc.).
3. Establish the importance of accountability accounting in leadership.
4. Propose relate choices to the plant managers on guidelines on how to raise a watch on costs and pork up revenue. Please accomplish particular to be relate with the suggestions.
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