Problem 13-38 Improving ROI (LO 13-3) The following data pertain to three divisions of Nevada Aggregates, Inc. The company's required rate of return on invested capital is 8 percent. Sales revenue Income Average investment Sales margin Capital turnover ROI Residual income Division A ? $510,000 ? 30% 1 ? ? Division B $12,000,000 $ 2,180,000 $ 2,530,000 ? ? ? ? Division c ? ? ? 35% ? 40% $136,000 Required: 2. Suppose Division A's sales margin increased to 35 percent, while its capital turnover remained constant. Compute the division's new ROI. New return on investment : %