Exercise 10-6 Contrasting Return on Investment (ROI) and Residual Income [LO10-1, LO10-2] Meiji Isetan Corp. of Japan has two regional divisions with headquarters in Osaka and Yokohama Selected data on the two divisions follow Sales Net operating income Average operating assets DIVEton Osaka Yokohama $ 10,400,000 $4,000,000 5 520,000 $ 2,380,000 5 2,600,000 $17,000,000 Required: 1. For each division, compute the return on investment (RON) in terms of margin and turnover 2. Assume that the company evaluates performance using residual income and that the minimum required rate of return for any division is 1256. Compute the residual income for each division 3 Is Yokohama's greater amount of residual income an indication that it is better managed? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required For each division, compute the return on investment (ROI) in terms of margin and turnover. Osaka Yokohama ROL Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Assume that the company evaluates performance using residual income and that the minimum required rate of return for any division is 129 Compute the residual income for each division. Osakia Yokohama Residual income Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Is Yokohama's greater amount of res Required 3 Je an indication that it is better managed? lores No