Save Grace Manufacturing makes fashion products and competes on the basis of quality and leading-edge designs. The company has two divisions, clothing and cosmetics. Grace has $10,000,000 invested in assets in its clothing division. After-tax operating income from sales of clothing this year is $1,500,000 The cosmetics division has $5,000,000 invested in assets and an alter-tax operating income this year of $800,000. The weighted average cost of capital for Grace is 7%. The CEO of Grace has told the manager of each division that the division that performs best this year will get a bonus Read the requirements SELE Requirement 1. Calculate the ROI and residual income for each division of Grace Manufacturing, and briefly explain which manager will get the bonus. What are tho advantages and disadvantages of each measure? Begin by selecting the formula to calculate ROI, then compute the Rol for each division ROI Clothing Division Cosmetics Division % Requirements 1. Calculate the Rol and residual income for each division of Grace Manufacturing and briefly explain which manager will get the bonus What are the advantages and disadvantages of each measure? 2. The CEO of Grace Manufacturing has recently heard of another measure similar to residual Income called EVA. The CEO has the accountant calculato adjusted incomes for clothing and cosmetics, and finds that the adjusted after tax operating incomes are $1,425,000 and $1,225.000, respectively Also, the clothing division has $500,000 of current liabilities, while the cosmetics division has only $100,000 of current liabilities. Using the preceding information calculate the EVA for each division and discuss which division manager will get the bonus 3. What nonfinancial measures could Grace use to evaluate divisional performances? Help me Check