Kelly Kitchens operates both franchised and company-operated restaurants under the brand name Kelly Kitchens. Operating income, sales, and invested assets for both segments are provided as follows:Company-Operated FranchisedOperating income $180,000 $192,000Sales $600,000 $240,000Invested assets $1,500,000 $150,000Determine the investment turnover for company-operated and franchised restaurants. Round to two decimal places.Use the DuPont formula to determine the return on investment for company-operated and franchised restaurants.Kelly Kitchens is expanding to the Midwest. How would you advise management regarding the use of company-operated versus franchised restaurants in the expansion?Your discussion answers will be graded based on the rubric. See the syllabus if you need to refresh your memory on what is required.
