Megatronics Corporation, a massive retailer of electronic products, is organized in four separate divisions. The four divisional managers are evaluated at year-end, and bonuses are awarded based on ROI. Last year, the company as a whole produced a 13 percent return on its investment. During the past week, management of the company's Northeast Division was approached about the possibility of buying a competitor that had decided to redirect its retail activities. (If the competitor is acquired, it will be acquired at its book value.) The data that follow relate to recent performance of the Northeast Division and the competitor: Sales Variable costs Fixed costs Invested capital Northeast Division $8,400,000 70% of sales $2,150,000 $1,850,000 Competitor $5,200,000 65% of sales $1,670,000 $ 625,000 Management has determined that in order to upgrade the competitor to Megatronics' standards, an additional $375,000 of invested capital would be needed. Answer is not complete. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req Req 3B Reg 4 Req 5A Reg 5B Calculate the Northeast Division's ROI after acquisition of competitor but before upgrading. (Round your answer to 2 decimal places (i.e., .1234 should be entered as 12.34).) ROI 18.24 X % * Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 Reg 2 Req Reg 3B Reg 4 Reg 5A Req 5B Assume that Megatronics uses residual income to evaluate performance and desires a 12 percent minimum return on invested capital. Compute the current residual income of the Northeast Division and the division's residual income if the competitor is acquired. Current residual income Residual income if competitor is acquired