"I know headquarters wants us to add that new product line," said Dell Havasi, manager of Billings Company's Office Products Division. "But I want to see the numbers before I make any move. Our division's return on investment (ROI) has led the company for three years, and I don't want any letdown." Billings Company is a decentralized wholesaler with five autonomous divisions. The divisions are evaluated on the basis of ROl, with year-end bonuses given to the divisional managers who have the highest ROls. Operating results for the company's Office Products Division for the most recent year are given below Sales Variable expenses Contribution margin Fixed expenses Net operating income Divisional operating assets $ 22,835,000 14,297,200 8,537,800 6,190.000 347.800 $4,000,000 The company had an overall return on investment ROI of 17.00% last year considering all divisions . The Office Products Division has an opportunity to add a new product line that would require an additional investment in operating assets of $2,755,000. The cost and revenue characteristics of the new product line per year would be: Sales Variable expenses Fixed expenses S 9,915,000 65% of sales S2,607,450 Required 1. Compute the Office Products Division's ROl for the most recent year; also compute the ROl as it would appear if the new product line is added. (Round the "Margin, "Turnover" and "ROI" answers to 2 decimal places.) New Total S 22,835,000 S 9,915,000 Sales Net operating income Operating assets Margin Turnover ROI