managerial accounting

Zain Company provides business to business services on the internet. Data concerning the most recent year appear below: Sales $1200,000 Net Operating Income $250,000 Average Operating Assets $750,000 Required Return on Investment 18% Required: Consider each question below independently Carry out all computation to two decimal places. a. Compute the Company's Margin, Turnover, Return on Investment (ROI) and Residual Income (RI) b. The company management is considering disinvestment (decrease in investment) of $80,000 the management expect that there will no affect on net operating income and company want to utilize this 80000 in buying other securities. Would the company's disinvestment decision to be in the best interests of the company? Why? c. The entrepreneur who founded the company is convinced that sales will increase by 40% and the net operating income will increase 60%, with no increase in average operating assets. What would be the company's ROI and Residual Income (RI)? d. The chief financial officer of the company believes a more realistic scenario would be 400,000 increases in sales, requiring a 125,000 increase in average operating assets, with a resulting 40% increase in net operating income. What would be the company's ROl and RI in this scenario?