Return on Assets (ROA) The following information relates to the operating performance of two divisions of Campbell Food International Company's: 1) Soup and Sauces and 2) Beverages. (all figures are in millions except i WACC) Sales Division 1 Division 2 $1,500 $250 Net Income $105 $27 Interest $20 $4 The tax rate is 25%. REQUIRED: (a) Compute each division's profit margin for return on assets (ROA). (b) Compute each division's return on assets (ROA). Average Operating Assets $1,200 $300 CS Scanned with CamScanner Average Current Liabilities $400 $150 Weighted Average Cost of Capital 16% 16% (c) Comments on the results of the preceding calculations and what would you recommend for the Company to do to improve return on assets (ROA).