The three divisions of Tasty Goodness Foods are Snack Goods, Cereal, and Frozen Foods. The divisions are structured as investment centers. The following responsibility reports were prepared for the three divisions for the prior year:

1. Which division is making the best use of invested assets and thus should be given priority for future capital investments?
2. Assuming that the minimum acceptable rate of return on new projects is \(15 \%\), would all investments that produce a return in excess of \(15 \%\) be accepted by the divisions?
3. Can you identify opportunities for improving the company's financial performance?

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Snack Goods $1,800,000 1,039,500 $ 760,500 $ 250,000 114,500 Cereal Frozen Foods $2,100,000 872,000 $1,228,000 $ 500,000 203,000 $ 703,000 $ 525,000 $1,750,000 $1,650,000 668,000 $ 982,000 $ 390,000 196,000 $ 586,000 $ 396,000 $1,500,000 Service department charges: Revenues Operating expenses Income from operations before service department charges Promotion Legal $ 364,500 Income from operations $ 396,000 Invested assets $1,800,000