Sports Company makes? snowboards, downhill? skis, cross-country? skis, skateboards,? surfboards, and? in-line skates. The company has found it beneficial to split operations into two divisions based on the climate required for the? sport: Snow Sports and? Non-Snow Sports. The following divisional information is available for the past? year:

Adrenaline Sports Company makes snowboards, downhill skis, cross-country skis, skateboards, surfboards, and in-line skates. The company has found it beneficial to spl following divisional information is available for the past year: EEB (Click the icon to view the information.) Compute each division's residual income. Interpret your results. Are your results consistent with each division's ROI? First enter the formula, then calculate each divisions residual income )- Residual income Snow Non-Snow Interpret your results Both divisions have Are your results consistent with each division's ROI? This result is V residual income. This means that the divisions are earning income at a rate that Vmanagement's minimum expectations ?1 with the ROI calculations Data Table Sales 5,000,000 S 7,800,000 S ROI 22. 5% 24.0% Operating Income Total Assets Current Liabilities Snow Sports Non-Snow Sports 1,102,500 $ 1,632,000 S 4,900,000 S 6,800,000 S S 370,000 S 645,000 Adrenaline's management has specified a target 13% rate of return. Print Done