Prime Industries operates in three segments. The following financial statements are for the segment named "Omega Division."

Omega Division Income Statement for the Year Ended March 31, Year 8:

• Sales Revenue: $200,000
• Cost of Goods Sold: $120,000
• Gross Margin: $80,000
• Operating Expenses: $30,000
• Depreciation Expense: $10,000
• Operating Income: $40,000
• Nonoperating Income: $6,000
• Loss on Sale of Equipment: $4,000
• Net Income: $42,000

Omega Division Balance Sheet as of March 31, Year 8:

• Cash: $18,000
• Accounts Receivable: $38,000
• Inventory: $52,000
• Equipment (less accumulated depreciation): $72,000
• Total Assets: $180,000
• Accounts Payable: $18,000
• Notes Payable: $28,000
• Stockholders' Equity: $134,000

Required:

1. Compute the ROI for Omega Division.
2. Prime Industries aims for an ROI of 13%. Omega Division has an opportunity to invest $70,000 at an ROI of 15%. Calculate the new ROI if the investment is made.
3. Determine the net profit margin for Omega Division.
4. Calculate the asset turnover ratio for Omega Division.
5. Assess if Omega Division achieved the company’s desired ROI after the new investment.