Meiji Isetan Corp. of Japan has two regional divisions with headquarters in Osaka and Yokohama. Selected data on the two divisions follow:

	Division
	Osaka		Yokohama
Sales	$	10,900,000	$	39,000,000
Net operating income	$	763,000	$	3,510,000
Average operating assets	$	2,725,000	$	19,500,000

For each division, compute the return on investment (ROI) in terms of margin and turnover.

	Osaka		Yokohama
ROI		%		%

Assume that the company evaluates performance using residual income and that the minimum required rate of return for any division is 16%. Compute the residual income for each division.

	Osaka	Yokohama
Average operating assets
Net operating income
Minimum required return on average assets
Residual income	$0	$0