7.Information is provided below for two companies:
a.Compute asset turnover, profit margin, and return on assets for each company.
b.Compare the companies' performance.
8.Colonnade Enterprises has a profit margin of 10% and an asset turnover of 2.5 times. Operating revenues totaled $600,000.
a.Compute return on assets.
b.Compute total assets.
c.Compute net income.
d.Based on the above information, what operating strategy is probably used by Colonnade Enterprises?