E. 2.30

For the period just ended, Global Industries' Western Division reported profit of $45.3 million and invested capital of $300 million. Assuming an Imputed interest rate of 14%, which of the following choices correctly denotes Western's return on investment (ROI) and residual income? ROZ Residual Income A. 14.04 $(3.3 million) B. 14.08 $3.3 million c. 15.19 $(3.3 million) D. 15.18 $3.3 million E. 15.10 $42.0 million Multiple Choice Choice A Choice B Choice C Prey 11 of 39 Next > nep Genesis Scents has two divisions: the Cologne Division and the Bottle Division. The Battle Division produces containers that can be used by the Cologne Division. The Bottle Division's variable manufacturing cost is $2.30, shipping cost is $0:13, and the external sales price is $3.30. No shipping costs are incurred on sales to the Cologne Division, and the Cologne Division can purchase similar containers in the external market for $2.90 The Bottie Division has sufficient capacity to meet all external market demands in addition to meeting the demands of the Cologne Division Using the general rule, the transfer price from the Bottle Division to the Cologne Division would be: Multiple Choice $2.40 O $3.17 o $2.90 $3.30