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Exercise 11-6 (Algo) Contrasting Return on Investment (ROI) and Residual income (L011-1, LO11-2) Tan Corporation of Japan has two regional divisions with headquarters in Osaka

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Exercise 11-6 (Algo) Contrasting Return on Investment (ROI) and Residual income (L011-1, LO11-2) Tan Corporation of Japan has two regional divisions with headquarters in Osaka and Yokohama. Selected data on the two divisions follow: Sales Not operating income Average operating assets Division Osaka Yokohama 5 9,300,000 $23,000,000 $ 651,000 $2,070,000 $ 2,325,000 $11,500,000 Required: 1. For each division, compute the return on investment (ROI) 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 14%. Compute the residual income for each division Complete this question by entering your answers in the tabs below. Required 1 Required 2 For each division, compute the return on investment (ROI) in terms of margin and turnover Oska Yokohama % RO Required 2 > Exercise 11-6 (Algo) Contrasting Return on Investment (ROI) and Residual Income (L011-1, LO11-2] Tan Corporation of Japan has two regional divisions with headquarters in Osaka and Yokohama. Selected data on the two divisions follow: Sales Het operating income Average operating assets Division Osaka Yokohama 59,300,000 $23,000,000 651,000 52.070.000 $2,325,000 $11,500,000 Required: 1. For each division, compute the return on investment (ROI) 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 14%. Compute the residual income for each division, Complete this question by entering your answers in the tabs below. Required Required 2 Assume that the company evaluates performance using residual income and that the minimum required rate of return for any division is 14. Compute the residual income for each division Out Yokohama Residual income

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