Selected sales and operating data for three divisions of a multinational structural engineering firm are provided below:

Division

AsiaEuropeNorth AmericaSales$24,000,000$26,000,000$37,000,000Average operating assets6,000,0009,320,00014,800,000Net operating income780,000760,0001,332,000Minimum required rate of return13%9 %15%

Required:1.Compute the ROI for each division using the formula stated in terms of margin and turnover.(Do not round intermediate calculations and round your final answers to the nearest whole percent.)

2.Compute the RI for each division.

3.Assume that each division is presented with an investment opportunity that would yield a 12% rate of return.

a.If performance is being measured by ROI, which division(s) will probably accept the opportunity? Reject the opportunity?

b.If performance is being measured by RI, which division(s) will probably accept the opportunity? Reject the opportunity?