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+. jim s Quality Pre-owned Auto Sales Ltd, allows its divisions to oper autonomous units. Their results for the current year were as Revenues Current

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+. jim s Quality Pre-owned Auto Sales Ltd, allows its divisions to oper autonomous units. Their results for the current year were as Revenues Current assets Capital assets Current liabilities Net operating income After-tax income Weighted average cost of capital SUVs $1,650,000 210,000 870,000 275,000 235,000 186,000 9.5% Trucks $900,000 152.500 630,000 127,000 70,000 55,404 50 Cars $5,800,000 419,000 1,590,000 399,000 560,000 443,234 9.5% Required: For each division compute the a. return on sales (6 marks) b. return on investment based on total assets employed(6 marks) c. economic value added (12 marks) d. residual income based on net operating income (6 marks)

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