Selected sales and operating data for three divisions of different structural engineering firms are given as follows:

	Division A			Division B			Division C
Sales	$	5,500,000		$	9,500,000		$	8,600,000
Average operating assets	$	1,100,000		$	4,750,000		$	1,720,000
Net operating income	$	253,000		$	817,000		$	159,100
Minimum required rate of return		15.00	%		17.20	%		12.00	%

Required:
1.	Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover. (Round your answers to 2 decimal places.)

2.	Compute the residual income (loss) for each division. (Loss amounts should be indicated by a minus sign. Round your "Required rate of return" to 2 decimal places.)

3.	Assume that each division is presented with an investment opportunity that would yield a 17% rate of return.

a.	If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity?