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Part A Your company provided the following information for two of its divisions for last year: Division A Division B Sales 4,355,000.00 4,865,700.00 302,250.00 532,440.00

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Part A Your company provided the following information for two of its divisions for last year: Division A Division B Sales 4,355,000.00 4,865,700.00 302,250.00 532,440.00 Operating Income 6,672,000.00 S 7,735,900.00 Operating Assets, Jan 1 2,418,400.00 S 6,395,000.00 Operating Assets, Dec 31 WACC 4% 2% Your company requires a 17% minimum rate of return 1) For the each Division, calculate: Average operating assets Margin Turnover ROI Residual Income EVA 2) Use the measures above to evaluate which division is performing better. Explain your reasoning. What appears to be driving this difference in performance

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