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PA10-2 Calculating Unknowns, Predicting Relationship among Retun on Investment, Residual Income, Hurdle Rates LO 10-4, 10-5 The following is partial Information for Charleston Company's most

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PA10-2 Calculating Unknowns, Predicting Relationship among Retun on Investment, Residual Income, Hurdle Rates LO 10-4, 10-5 The following is partial Information for Charleston Company's most recent year of operation. t manufactures lawn mowers and categorizes is operations into two divisions: Bermud Midiron. ? 600,000 160,000 $ 150,000 0.16 40,000 30,000) Sales revenue $2,500,000 Average invested assets Net Operating income Profit margin nvestment turnover Retum on investment Residual income 20% Required: 1. Wilthout making any calculations, determine whether each division's return on investment is above or below Charleston's hurdie rae The Bermuda Division's rehum on investment is The Midiron Division's retum on investment is Charleston's hundle Charleston's hurdle rate 2. Determine the missing amounts in the proceding table. (Round turnover to 2 decimal places answers to 1 your ROI percentage answers to 1 decimal place, (Le, 0.123 should be entered as 12.3%). Round investment

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