Fleet Company has three divisions and expects each division to cam a 20% target rate of return The company had the following results last year (Click the icon to view the results) Division 3 reported the following data (Click the icon to view the Division 3 data) Read the requirements Requirement 1. Compute Division 3's profit margin ratio, asset turnover ratio, and ROI. Round your results to three decimal places. Interpret the results in relation to the other two divisions. Begin by computing Division 3's profit margin ratio. (Enter the profit margin ratio as a percentage rounded to one decimal place, XX%) Operating income Net sales Profit margin ratio 1465200 33300000 44 Now compute Division 3's asset turnover ratio. (Enter the asset tumover ratio in decimal form to three decimal places, XXX) Net sales Average total assets Asset turnover ratio 33300000 16500000 2018 Next compute Division 3's ROI (Enter any previously calculated amounts in the same format as you previously entered them Enter the ROI as a percentage rounded to one decimal place, XX%) = ROI Read the requirements 33300000 16500000 2018 Next, compute Division 3s ROL (Enter any previously calculated amounts in the same format as you previously entered them Enter the ROI as a percentage rounded to one diciemal place, XX%) ROI Division 3 meeting top management's expectations. Its Rolis than the 20% target rate of return. Division 3's profit margin ratio is than the other two divisions Additionally, the asset tumover ratio than Division 1's and than Division 2s. This means that Division 3 generating sales from its average total assets as efficiently as Division 1 and Division 3 is efficient than Division 2 Division management Requirement 2. Com First, compute Division needs to consider ways to increase the efficiency with which it uses divisional average total assets and increase profitability should be proud of the results 1 -1834800 Choose from any list or enter any number in the input fields and then continue to the next question k the icon to view the results.) Read the requirements management ment 2. Compute and interpret Division 3s RI mpute Division 3 RI (Use parentheses or a minus sign for a negative RI) - - ) RI - 1834000 v Ri confirms the Rolresults: The division meeting management's target rate of return ement 3. What can you conclude based on the financial performance Pla? wvestment center financial performance KPIs meeting financial expectations Top managements and stakeholders' expectations the division is formance measures tend to be log indicators measuring the results of decisions made in the past. The division's manager urrently be implementing new initiatives to operating income and asset turnover ratio s should be used to project whether such initiatives are pointing the division in the right direction profit margin ratio and target rate of return e from any ist or enter any number in their Roland RI 3 point to the same conchnion on Type here to search ADA 2:14 PM W10/2000 Requirement 2. Compute and interpret Division JS RI First, compute Division J's RI (Use parentheses or a minus sign for a negative RI) RI 1834800 The Rl confirms the ROI results. The division meeting management's target rate of return Requirement 3. What can you conclude based on the financial performance KPTS? Both investment center financial performance KPIs point to the same conclusion Division 3 meeting financial expectations Top managements and stakeholders' expectations are the division is Recall, however, that financial performance measures tend to be lag indicators-measuring the results of decisions made in the past the division's manager may currently be implementing new initiatives to the division's future profitability Lead indicators should be used to project whether such initiatives are pointing the division in the right direction Choose from any list or enter any number in the input fields and then continue to the next question Click the icon to view the results Requirements - X Data Table -X Profit margin ratio 6.8% 11.8% Division 1 Division 2 Asset turnover ratio 2585 1.315 1. Compute Division 3's profit margin ratio, asset turnover ratio, and ROL Round your results to three decimal places. Interpret the results in relation to the other two divisions 2. Compute and interpret Division 3's RI 3. What can you conclude based on the financial performance KPis? ROI 19.5% 18.3% Print Done Data Table Print Done Both investment center financial performance KPIs the division is $ Operating income Average total assets Net sales revenue may currently be implementing new initiatives to conclusion: Division 3 meeting financial expectations Top management measures tend to be lag indicators--measuring the results of decisions made in be used to project whether such initiatives are pointing the division in the right dire 1.465,200 16,500.000 33.300.000 Choose from any list of enter any number in the input Print Done