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Indi Services Corporation, headquartered in Bengaluru, India, provides specialized information technology (IT) services and consists of three divisions: (1) financial services, (2) health services, and (3) transportation services. For 2019, it recorded the following data: Financial Services $ 4,017,000 30% 2,121,000 Sales revenues Variable costs (% of sales) Traceable fixed costs Common fixed costs Health Services Transportation Services $ 5,824,000 $ 1,944,000 41% 44% 2,852,800 724,500 Total $ 11,785,000 5,697,500 1,200,000 Required: 1. Prepare a segment performance report showing the segment margin in dollars and percentages for all three divisions. Use Exhibit 12-3 as a guide. (Round "Percentage" answers to 2 decimal places.) INDI SERVICES CORPORATION Segment Performance Report Profit Centres Financial Health Transportation Total Required: 1. Prepare a segment performance report showing the segment margin in dollars and percentages for all three divisions. Exhibit 123 as a guide. (Round "Percentage" answers to 2 decimal places.) INDI SERVICES CORPORATION Segment Performance Report Profit Centres Financial Health Services Services Transportation Services Total Company % % % 2. Which segment is most profitable? O Financial Services O Health Services Transportation Services Selected operating data for two divisions of Outback Brewing, Ltd. of Australia are as follows: Sales Average operating assets Net operating income Property, plant, and equipment (net) Division New South Queensland Wales $ 3,400,000 $ 5,400,000 1,360,000 3,600,000 578,000 400,000 270,000 1,600,000 Required: 1. Compute the rate of return for each division using the ROI formula stated in terms of margin and turnover. (Do not round intermediate calculations and round your final answers to 2 decimal places.) Rate of Return Queensland New South Wales 2. Which divisional manager seems to be doing the better job? Queensland O News South Wales Selected sales and operating data for three divisions of a multinational structural engineering firm are provided below: Sales Average operating assets Net operating income Minimum required rate of return Division Asia Europe North America $ 25,000,000 $ 27,000,000 $ 38,000,000 6,250,000 9,680,000 15,200,000 937,500 790,000 1,672,000 15% 11% 17% Required: . Compute the ROI for each division using the formula stated in terms of margin and turnover. (Do not round intermediate alculations and round your final answers to the nearest whole percent.) ROI % Asia division Europe division North America division % 2. Compute the RI for each division. RI Asia division Europe division North America division 3. Assume that each division is presented with an investment opportunity that would yield a 14% rate of return. a. If performance is being measured by ROI, which division(s) will probably accept the opportunity? Reject the opportunity? ROI Asia division Europe division North America division . If performance is being measured by RI, which division(s) will probably accept the opportunity? Reject the opportunity? RI Asia division Europe division North America division Pecs Alley is a regional chain of health clubs. The managers of the clubs, who have authority to make investments as needed, are evaluated based largely on ROI. The Vancouver club reported the following results for the past year: Sales Net operating income Average operating assets $ 2,200,000 330,000 1,159,000 Required: The following questions are to be considered independently. 1. Compute the club's ROI. (Do not round intermediate calculations. Enter your percentage answer rounded to 2 decimal place (i.e., 0.1234 should be entered as 12.34).) ROI 2. Assume that the manager of the club is able to increase sales by $203,000, and, as a result, net operating income increases by $39,700. Further assume that this is possible without any increase in operating assets. What would be the club's ROI? (Do not round intermediate calculations. Enter your percentage answer rounded to 2 decimal place (i.e., 0.1234 should be entered as 12.34).) ROI 3. Assume that the manager of the club is able to reduce expenses by $36,600 without any change in sales or operating assets. What would be the club's ROI? (Do not round intermediate calculations. Enter your percentage answer rounded to 2 decimal place (i.e., 0.1234 should be entered as 12.34).) ROI ROI 4. Assume that the manager of the club is able to reduce operating assets by $400,000 without any change in sales or net operating income. What would be the club's ROI? (Do not round intermediate calculations. Enter your percentage answer rounded to 2 decimal place (i.e., 0.1234 should be entered as 12.34).) ROI 5. This part of the question is not part of your Connect assignment. One division of a company has reported the following operating results for the year just ended: Sales Operating income Average operating assets $ 650,000 65,000 195,000 Required: 1. Compute the margin percentage, turnover, and ROI for this division. (Round your intermediate calculations to 2 decimal places. Round "Margin" answer to whole number and other answers to 2 decimal places.) Margin percentage Turnover ROI 2. If management sets a minimum required rate of return on average operating assets of 18%, what is the RI for this division for the year? RI