Required for Question 6

(a) Calculate the missing figures

(b) How would you evaluate the branch manager's performance based on ROI

(C) Assuming that Corporate tax is 28%, and the desired rate of return is equal to weighted average cost of capital, calculate EVA for Rundu branch

5.5 Determine the Direct Labour Rate Varlance 15 TOTAL MARKS FOR QUESTION 5 QUESTION 6 (10 MARKS, 18 MINUTES) River Basin Limited has two branches, in Rundu and Otavi. The following information relates to Rundu branch. 792 000 Sales ROI Branch assets Operating income 2.2 Assets turnover ? Residual income 13% Operating profit margin 18% Corporate desired rate of return 8