Check my work Selected sales and operating data for three divisions of different structural engineering firms are given as follows: Sales Average operating assets Net operating income Minimum required rate of return Division A $16,100,000 $ 3,220,000 $ 644,000 8.000 Division B $ 28,880,000 $ 7,220,000 $ 519,840 8.508 Division C $20,880,000 $5,220,000 $ 626,400 12.000 Required: 1. Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover. 2. Compute the residual income (loss) for each division. 3. Assume that each division is presented with an investment opportunity that would yield a 9% rate ofre a. If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept or reject the opportunity? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req 3A Req 3B Check my work Required: 1. Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover 2. Compute the residual income (oss) for each division 3. Assume that each division is presented with an investment opportunity that would yield a 9% rate of return. a. If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept or reject the opportunity? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req 3A Reg 3B Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover round Intermediate calculations. Round your answers to 2 decimal places.) Margin Turnover ROI Division A Division B Division C Req2 > Check my work Required: 1. Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover. 2. Compute the residual income (loss) for each division. 3. Assume that each division is presented with an investment opportunity that would yield a 9% rate of return. a. If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept or reject the opportunity? Complete this question by entering your answers in the tabs below. ces Req 3A Reg 2 Req 3B Reg 1 Compute the residual income (loss) for each division. (Do not round Intermediate calculations. Loss amounts should be Indicated by a minus sign.) Division A Division B Division C Residual income (loss) RegSA > ( Req1 8 Check my work Required: 1. Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover. 2. Compute the residual income (loss) for each division. 3. Assume that each division is presented with an investment opportunity that would yield a 9% rate of return. a. If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept or reject the opportunity? points eBook Print Complete this question by entering your answers in the tabs below. References Req 1 Reg 2 Req 3A Reg 38 Assume that each division is presented with an investment opportunity that would yield a 9% rate of return. If perform being measured by ROI, which division or divisions will probably accept or reject the opportunity? Division A Division B Division C Check my work Required: 1. Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover. 2. Compute the residual income (loss) for each division. 3. Assume that each division is presented with an investment opportunity that would yield a 9% rate of return. a. If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept or reject the opportunity? Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req & 3B Assume that each division is presented with an investment opportunity that would yield a 9% rate of return. If perfor being measured by residual income, which division or divisions will probably accept or reject the opportunity? Division A Division B Division C - Req 3A
