Exercise 14-31 (Static) Comparing Business Units Using ROI (LO 14-2) Universal Electronics, Inc. (UEI), which started operations one year ago, has two divisions: Consumer and Commercial. Both divisions invest heavily in R&D, which is assumed to benefit five years. R&D spending is made uniformly throughout the year. UEI has a cost of capital of 11 percent. Selected financial information for the two divisions (in thousands of dollars) for the year just completed follows. Consumer Commercial Sales revenue $22,000 Divisional income 3,850 Divisional investment 27,500 Current liabilities 1,000 $37,000 3,885 27,750 800 R&D 1,000 1,000 Required: Evaluate the performance of the two divisions assuming UEI uses return on investment (ROI). ROI of Consumer division % ROI of Commercial division % Which division performed better?