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Required Information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below] Megamart provides the following information

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Required Information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below] Megamart provides the following information on its two investment centers. Exercise 22-10 (Algo) Computing return on Investment and residual income; investing decision LO A1 1. Compute retum on investment for each centec. Using return on Investment, which center is miost efficient at using assets to generate income? 2. Assume a target income of 10% of average assets, Compute residual income for each center. Which center generated the most residual income? 3. Assume the Electronics center is presented with a new investment opportunity that will yleid a 14% return on investment. Should the new investment opportunity be accepted? The target return is 10%. Complete this question by entering your answers in the tabs below. Compote return on investment for each center Using return on investment, which center is most efficient of using assets to generate income? 3. Assume the Electronics center is presented with a new investment opportunity that will yleld a 14% return on investment. Should the new investment opportunity be accepted? The target return is 10%. Complete this question by entering your answers in the tabs below. Compute retum on investment for each center. Using return on investment, which center is most efficient at using assets to generate incame? residual income? 3. Assume the Electronics center is presented with a new investment opportunity that will yleid a 14% return on investment. Shoul the new investment opportunity be accepted? The target return is 10%. Complete this question by entering your answers in the tabs below. Assume a target income of 10% of averipge assets. Compute residual income for each center. Which center generated the most rosidual income

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