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please help!!!! managerial accounting homework Return on investment for Multiple Investments Residual Income The manager of a division that producerad-on products for the automobile industry

please help!!!! managerial accounting homework
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Return on investment for Multiple Investments Residual Income The manager of a division that producerad-on products for the automobile industry has just been presented the opportunity to invest in two independent projects. The first an air conditioner for the back seats of vans and minivans. The second is a turbocharger without the investments, the division will have average for the coming your of $28.5 million and expected operating income of 54.335 mmion. The outlay required for each investment and the expected operating income are as follows: Air Conditioner Turbocharger Outsy $750,000 5540,000 Operating income 90.000 02.000 Required 1. Compute the ROS for each investment project Round to the nearest whole percent 12 Ar conditionat, ROI Turbocharger ROL 15 2. Compute the budgeted dinal Rol for each of the following four alternative Round to two decimal places The si conditioner Investment is made b. The turbocharger Investment is made c. Both investments are made d. Neither additional intment is made 3. Conceptun Connections Ancoming that arvioional managers are evaluated and rewarded on the basis of noroerformance, which alternative to you think the divisional manager wil choose Conceptul Connection suppose that the company notu a minimum required rate of retur aquat to 14 Calculate the residual income for each of the following four alternatives The ar conationer investment is made Ouck My Work All work tave Save and it Submit Assignment for Grading The air conditioner investment is made b. The turbocharger investment is made c. Both investments are made d. Neither additional Investment is made 3. Conceptual Connection Assuming that divisional managers are evaluated and rewarded on the basis of Rot performance, which alternative do you think the divisional manager will choose 4. Conceptun Connection Support that the company vett a minimum required rate of return equal to 14 Calculate the residual income for each of the following four alternatives a. The air conditioner investment is made The turbocharger Investment is made c. Both investments are made d. Netherdotional investment is made Which option will the manager choose bed on residual income? 5. Conceptual Connection support that the company at a minimum reied rate of return cual to 10w, Calculate the residual income for each of the following four IV The air conditioner investment is made B. The turbocharger westment is made Both etments are made d. Neither additional investment is made Based on income, which the most profitable IN Check My Work

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