Epic Sports Company makes snowboards, downhill skis, cross-country skis, skateboards, surfboards, and in-line skates. The company has found it beneficial to split operations into two divisions based on the climate required for the sport: Snow Sports and Non-Snow Sports. The following divisional information is available for the past year: B (Click the icon to view the information.) Compute each division's residual income. Interpret your results. Are your results consistent with each division's ROI? First enter the formula, then calculate each divisions residual income. Residual income Snow %) = Non- Snow X %) = Interpret your results. Both divisions have residual income. This means that the divisions are earning income at a rate that management's minimum expectations. Are your results consistent with each division's ROI? This result is with the ROI calculations. Data Table Operating Income Total Assets 1,044,000 $ 4,500,000 $ Current Liabilities 450,000 ROI 23.2% Sales Snow Sports $5,800,000 $ Non-Snow Sports $8,800,000 $ 1,584,000 $ 6,400,000 $ 700,000 24.8% Epic's management has specified a target 16% rate of return. Print Done