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Stuart Technologies, Inc. has three divisions. Stuart has a desired rate of return of 11.0 percent. The operating assets and income for each division are

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Stuart Technologies, Inc. has three divisions. Stuart has a desired rate of return of 11.0 percent. The operating assets and income for each division are as follows: Divisions Printer Copier Fax Total Operating Assets $ 690,000 960,000 510,000 $2,160,000 Operating Income $110,400 100,800 68,340 $ 279,540 Stuart headquarters has $135,000 of additional cash to invest in one of its divisions. The division managers have identified investment opportunities that are expected to yield the following Rols: Divisions Printer Copier Fax Expected ROIS for Additional Investments 12.5% 11.5% 10.5% Required Required a-1. Calculate the ROI for each division. a-2. Which division manager is currently producing the highest ROI? b. Based on ROI, which division manager would be most eager to accept the $135,000 of investment funds? c. Based on ROI, which division manager would be least likely to accept the $135,000 of investment funds? d. Which division offers the best investment opportunity for Stuart? g. Calculate the residual income: (1) At the corporate (headquarters) level before the additional investment. (2) At the division level before the additional investment. (3) At the investment level. (4) At the division level after the additional investment. Complete this question by entering your answers in the tabs below. Req A1 Req A2 to D Req G1 Req G2 to G4 Calculate the ROI for each division. (Round your answers to 1 decimal place. (i.e., 0.234 should be entered as 23.4).) ROI Printer Division % Copier Division % Fax Division % Required a-1. Calculate the ROI for each division. a-2. Which division manager is currently producing the highest ROI? b. Based on ROI, which division manager would be most eager to accept the $135,000 of investment funds? c. Based on ROI, which division manager would be least likely to accept the $135,000 of investment funds? d. Which division offers the best investment opportunity for Stuart? g. Calculate the residual income: (1) At the corporate (headquarters) level before the additional investment. (2) At the division level before the additional investment. (3) At the investment level. (4) At the division level after the additional investment. Complete this question by entering your answers in the tabs below. Req A1 Reg A2 to D Req G1 Req G2 to G4 a-2. Which division manager is currently producing the highest ROI? b. Based on ROI, which division manager would be most eager to accept the $135,000 of investment funds? c. Based on ROI, which division manager would be least likely to accept the $135,000 of investment funds? d. Which division offers the best investment opportunity for Stuart? Show less a-2. Which division manager is currently producing the highest ROI? Based on ROI, which division manager would be most eager to b. accept the $135,000 of investment funds? Based on ROI, which division manager would be least likely to accept c. the $135,000 of investment funds? d. Which division offers the best investment opportunity for Stuart? Required a-1. Calculate the ROI for each division. a-2. Which division manager is currently producing the highest ROI? b. Based on ROI, which division manager would be most eager to accept the $135,000 of investment funds? c. Based on ROI, which division manager would be least likely to accept the $135,000 of investment funds? d. Which division offers the best investment opportunity for Stuart? g. Calculate the residual income: (1) At the corporate (headquarters) level before the additional investment. (2) At the division level before the additional investment. (3) At the investment level. (4) At the division level after the additional investment. Complete this question by entering your answers in the tabs below. Req A1 Req A2 to D Req G1 Req G2 to G4 Calculate the residual income at the corporate (headquarters) level before the additional investment. Residual income a-1. Calculate the ROI for each division. a-2. Which division manager is currently producing the highest ROI? b. Based on ROI, which division manager would be most eager to accept the $135,000 of investment funds? c. Based on ROI, which division manager would be least likely to accept the $135,000 of investment funds? d. Which division offers the best investment opportunity for Stuart? g. Calculate the residual income: (1) At the corporate (headquarters) level before the additional investment. (2) At the division level before the additional investment. (3) At the investment level. (4) At the division level after the additional investment. Complete this question by entering your answers in the tabs below. Req A1 Req A2 to D Req G1 Req G2 to G4 Calculate the residual income: (Loss amounts should be indicated by a minus sign.) (2) At the division level before the additional investment. (3) At the investment level. (4) At the division level after the additional investment. Show less A Residual Income (loss) (2) Printer division Copier division Fax division (3) Printer division Copier division Fax division (4) Printer division Copier division Fax division

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