Business Conse Return to coure Rome Computation Want Antoni.com umut the companyies return on investment and residual income as two of the evaluation tools for division managers. The cadernonimento15 Seedepring data for three of the division of the company follow Track Seafood in Cars in s SS. Conectores division Cound the climate Cameroon Neneral income Ta Can ROI and Residual income Basic Computations Watkins Associated Industries is a privately held conglomerate. Assume that the company uses return on investment and residual income as two of the totools for divisions. The company has a minimum desired rate of return on investment of 1s Selected operating data for three of the divisions of the company follow Trucking Division Seafood Division Controllen Division Sales 56.450.000 1000 3500 Operatings 2.750.000 20.000 0.000 Net pertinence 325.000 156.000 (a) Compute the return on investment for each division (Round answers to three decimal places Trucking ROE 014 Seafood ROE 02 Construction (a) Compute the return on investment for each division, (Round answers to three decimal places.) Trucking ROI 0.14 Seafood ROI = 0.2 Construction ROI = 0.22 (b) Compute the residual income for each division. Note: Use a negative sign if residual income is a loss. Residual income Trucking Seafood Construction Net operating income $ 525,000 $ 116,000 $ 385,000 Minimum level OX OX 0 X Residual income $ 0 X 5 0 X $ 0 x Check MBA 6302-TBA ACCOUNTING FOR MGMT DECISIONS - 35111.202130 myBusine E Business Course Return to course ROI and Residual Income: Basic Computations Watkins Associated Industries is a privately held conglomerate. Assume that company hash minimum desired rate of return on investment of 15%. Sele Trucking Division Seafood Division Construction Division Sales $6,450,000 $1,845,000 $5,200,000 Operating assets 3,750,000 580,000 1,750,000 Net operating income 525,000 116,000 385,000 (a) Compute the return on investment for each division. (Round answerst 0.14 Trucking ROI = Seafood ROI Construction ROI- 0.2 0.22