Selected sales and operating data for three divisions of different structural engineering firms are given as follows: Sales Average operating assets Net operating income Minimum required rate of return Division A $ 15,250,000 $ 3,050,000 $ 655, 75e 9.00 Division B $ 35,250,000 2, ese, eae 528 75e 9.50 Division $ 25, 250, eae $ 5 ese, eee $ 732, 258 14.50% Required: 1. Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover. 2 Compute the residual income (loss) for each division. 3. Assume that each division is presented with an investment opportunity that would yield a 10% rate of retum. a. If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept or reject the opp Complete this question by entering your answers in the tabs below. Rea 1 Req 2 Req 3A Req 38 Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Margin Turnover ROL Division A Divison B 96 96 Division C Reg 2 divisions will probably Complete this question by entering your answers in the tabs below. Req 1 Reg 2 Req 3A Req 3B n Compute the residual income (loss) for each division. (Do not round intermediate calculations. Loss indicated by a minus sign.) Division A Division B Division C Residual income (loss) C Reg 1 Req 3A r alivision or divisions will probably accept or reje Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 RELA Reg 3B Assume that each division is presented with an investment opportunity that would yield a 10% rate of return. If perfc is being measured by ROI, which division or divisions will probably accept or reject the opportunity? Division A Division B Division C Req 2 Req3B by entering your answers in the tabs below. Req Reg 2 Req 3A Req 3B Assume that each division is presented with an investment opportunity that would yield a 10% rate of retur is being measured by residual income, which division or divisions will probably accept or reject the opportun Division A Division B Division C Reeq 3A Next 4 of 4 Prev