2.)

The Street DivIsion of Labrosse Logistics just started operations. It purchased depreclable assets costing $36.5 million and having a four-year expected life, after which the assets can be salvaged for $7.3 million. In addition, the division has $36.5 million in assets that are not depreciable. After four years, the division will have $36.5 million avallable from these non depreclable assets. This means that computing ROI, this division uses beginning-of-year asset values in the denominator. Depreciation is computed on a straight-IIne basis, recognizing the salvage values noted. Ignore taxes. Required: a. \& b. Compute ROI, using net book value and gross book value. Note: Enter your answers as a percentage rounded to 2 decimal place (l.e., 32.10). Hardyke Group operates a local after-school recreation and actlvitles program. The Education Department is a state governmental agency. Hardyke has an agreement with the Department to provide services to students in need for a nominal $1 per day, to be paid by the student. The government will reimburse Hardyke for the "cost" of providing dally services used by a student. The regular price to participate in the program is $6.30 per day. After analyzing its costs, Hardyke calculates that, with its operating deficit, the full cost of each student for a day Is $8.80. All programs that Hardyke offers are unaffected by the number of students paying the nominal fee. Required: b. Which price would Hardyke Group prefer? Note: Enter your answer to 2 decimal places. c. Which price would the Education Department prefer? Note: Enter your answer to 2 decimal places. Leave no cells blank - be certaln to enter "O" wherever required. d. If Hardyke provides an average of 4,300 student-days for in-need children in a given month, what is the monthly value of the difference between the prices in full capacity