Question 3 1 pts The Shiganshina Division of Paradis Co. reported the following data for the current year. Sales: $7,500,000 Variable Costs: $4,000,000 Controllable fixed costs: $1,250,000 Average operating assets: $6,000,000 Top management asks the manager of the Shiganshina Division to submit plans to improve the return on investment (ROI) in the next year. The manager is considering the following two independent options as courses of action 1. Reduce average operating assets by 12%. 2. Reduce variable costs by $1,000,000 Given the two options, check all that apply: The new ROI under Option 1 is 37.5% The new ROI under Option 2 is 54.2% Management should proceed with Option 2 since it creates the greater ROI Management should be indifferent between the two options The new ROI under Option 1 is 42.6% ROI is the same under both options