Gamma Company would like to examine the sales margin and asset components of return on investment for three of its divisions and has accordingly prepared the following information: a {Click the icon to view the data.) Requirements {a} Compute each division's return on investment, sales margin, and turnover. {b} Comment on the divisions' relative rankings on the ratios computed in part a. {c} Compute each division's residual income, assuming a required return on investment of 10%. Requirement {3] Compute each division's return on investment, sales margin, and turnover. Begin with return on investment. Select the formula labels and calculate the return on investment for each division. (Enter the return on investmen as a percent, rounded to two decimal places, X.XX%.J Return on Division I 2 investment E r | = | |% F r | = | |% G r : = E % \fGamma Company.r would like to examine the sales margin and asset components of return on investment for three of its divis accordinglv prepared the following information: @ (Click the icon to view the data} Requirements [a] Compute each division's return on investment, sales margin, and turnover. [bl Comment on the divisions' relative rankings on the ratios computed in part a. [c] Compute each division's residual income. assuming a required return on investment of 10%. Requirement {3] Compute each division's return on investment, sales margin. and turnover. Begin with return on investment. Select the formula labels and calculate the return on investment for each division. {Enter the investment as a percent. rounded to two decimal places. XXX'llajl Return on Divisionl VI I :l 2 investment F ll = ll (3 Cost of capital 2 Division income Investment Residual income example Sales Clear all