Check my work 1 6 points Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.) eBook Megamart provides the following information on its two investment centers. Hint Investment Center Electronics Sporting goods Sales $ 56,100,000 25,000,000 Income $ 2,805,000 2,000,000 Average Assets $ 16,500,000 12,500,000 Ask Print References Exercise 9-10 (Algo) Computing return on investment and residual income; investing decision LO A1 1. Compute return on investment for each center. Using return on investment, which center is most efficient at using assets to generate income? 2. Assume a target income of 10% of average assets. Compute residual income for each center. Which center generated the most residual income? 3. Assume the Electronics center is presented with a new investment opportunity that will yield a 14% return on investment. Should the new investment opportunity be accepted? The target return is 10%. Comnlete this question hy entering vour answers in the tabs below Mc investment. Should the new investment opportunity be accepted? The target return is 10%. 6 points Complete this question by entering your answers in the tabs below. eBook Required 1 Required 2 Required 3 Hint Ask Compute return on investment for each center. Using return on investment, which center is most efficient at using assets generate income? Print Return on Investment References Numerator: 1 Denominator: / 11 Return on Investment Electronics / = Sporting Goods 1 = Which center is most efficient at using assets to generate income? Mc Graw Mc Graw Prev 1 of 1 Next