Delta Manufacturing has three departments. The following financial statements relate to the department called "Beta Unit."

Beta Unit Income Statement for the Year Ended June 30, Year 6:

• Sales Revenue: $220,000
• Cost of Goods Sold: $130,000
• Gross Margin: $90,000
• Operating Expenses: $20,000
• Depreciation Expense: $15,000
• Operating Income: $55,000
• Nonoperating Income: $10,000
• Loss on Sale of Machinery: $5,000
• Net Income: $60,000

Beta Unit Balance Sheet as of June 30, Year 6:

• Cash: $25,000
• Accounts Receivable: $45,000
• Inventory: $50,000
• Machinery (less accumulated depreciation): $70,000
• Total Assets: $190,000
• Accounts Payable: $20,000
• Notes Payable: $30,000
• Stockholders' Equity: $140,000

Required:

1. Compute the ROI for Beta Unit.
2. Delta Manufacturing has set a target ROI of 12%. Beta Unit has a potential investment of $40,000 with an expected ROI of 14%. Calculate the new ROI if the investment is made.
3. Determine the net profit margin for Beta Unit.
4. Calculate the asset turnover ratio for Beta Unit.
5. Assess whether Beta Unit achieved the target ROI after the new investment.