Question 2: Responsibility accounting and performance evaluation [12 marks] Rvne roof is a department of the main business The Hot Tin Roof. End of vear results for Rvne Roof are as follows: Target profit margin 12% Asset turnover ratio 1.43 times Cost of capital\"c 14% Weighted average cost of capital 11.30% {wacci sass Investment in Rvne Roof $1,125,000 Non Current assets $280,000 Current liabilities $210,000 some some Overhead allocated $251000 "' Cost of capital is used as the benchmark for ROI. Required a] Calculate Rvne Roof's prot for the year. Ensure that vou show all inputs used. b} Calculate the ROI that Rvne Roof has achieved for the vear. Comment on the performance of Rvne Roof compared with how they.' were expected to perform. Ensure that you show all inputs used. c] Provide a calculation for the residual income ensuring that you show all inputs used. What does this figure mean for Rvne Roof? d} Provide a calculation for the EVA ensuring that vou show all inputs used. What does this figure mean for Rvne Roof