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Baird Home Maintenance Company earned operating income of $5,918,600 on operating assets of $58,600,000 during Year 2 . The Tree Cutting Division earned $1,193,700 on
Baird Home Maintenance Company earned operating income of $5,918,600 on operating assets of $58,600,000 during Year 2 . The Tree Cutting Division earned $1,193,700 on operating assets of $6,900,000. Baird has offered the Tree Cutting Divis $2,220,000 of operating income amounting to $457,320. Baird has a desired return on investment (ROI) of 8.10 percent. Required a. Calculate the return on investment for Baird, the Tree Cutting Division, and the additional investment opportunity. b. Calculate the residual income for Baird, the Tree Cutting Division, and the additional investment opportunity. Calculate the return on investment for Baird, the Tree Cutting Division, and Note: Round your answers to 2 decimal places. (i.e., 0.2345 should be ente Calculate the residual income for Baird, the Tree Cutting Division, and the addi
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