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Divisional income statements and return on investment analysis E.F. Lynch Company is a diversified investment company with three operating divisions organized as investment centers. Condensed

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Divisional income statements and return on investment analysis E.F. Lynch Company is a diversified investment company with three operating divisions organized as investment centers. Condensed data taken from the records of the three divisions for the year ended June 30,20YB, are as follows: The management of E.F. Lynch. Company is evaluating each division as a basis for planning a future expansion of operations. Required: 1. Prepare condensed divisional income statements for the three divisions, assuming that there were no service department charges. An expacded expression of return on investment determined by multiplying the profit margin by the investment turnow 2. Using the DuPont formuta for return on investment, compute the profit margin, investment tumover, and return on investment for each division. If required, round investment turnover to one decimal place

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