RoI, Residual Income

taxes.

management decided against the investment because it believed that the investment would decrease Keimer's overall ROI.

Required:

per unit

Calculate the following performance measures for $202$ for Keimer Steel Company:

$\%$

b$.$ Residual income calculated on the basis of average operating assets employed. Round your answer to the nearest cent.

The investment would have increased both the division's residual income and the management bonuses.

Keimer must be able to control all items related to profits and investment.