Chapter 2 Worksheet - Salem State University

Cannondale will increase ROI by 15% by 2004. Higher ROE Based on 1999 financial performance summary = 5923/75010= 7.9%. Based on 1991 financial performance summary = (1162/ 6893)= 16.9%. ROE is declining. Long-term objective: Cannondale will reduce costs to achieve higher profit margins and increase ROE to 1991 levels of 17% by the end of 2004. ................
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