Daffy Ltd manufactures soaps and shampoos. The company is structured into two distinct divisions aligned with each product. The divisional performance data for the financial year ended 30 June 2021 are as follows: Sales Variable costs Fixed costs Allocated common costs Soap $ 450,000 240,000 110,000 100,000 Shampoo $ 980,000 510,000 250,000 140,000 360,000 1,300,000 Total assets (after deducting Accumulated Depreciation) Current liabilities 50,000 300,000 Required rate of return 15% 20% Weighted average cost of capital 12% 10% The income tax rate is 30%. The management is preparing a Balanced Scorecard in order to improve company performance for the upcoming financial year. The goals and measures identified for the Balanced Scorecard include the following: . Goals Improve efficiency of machine set-up Improve knowledge base Improve product quality Improve satisfaction Reduce excess inventory Measures Survey scores % of expired materials No. of training days No. of research hours No. of minutes . . f) The management of Daffy Ltd has come across a further investment opportunity. It does not want to develop a separate division, so one of the existing divisions would need to take responsibility for the new investment opportunity. Management estimates that the new investment opportunity would require an investment of $120,000 to deliver sales of $80,000, with variable costs estimated at $27,000 and fixed costs at $24,000. Calculate the ROI of the new investment opportunity, and explain which division(s) would be interested to take over the new investment opportunity. (2 marks)