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Tan Corporation of Japan has two regional divisions with headquarters in Osaka and Yokohama. Selected data on the two divisions follow: Sales Osaka Division
Tan Corporation of Japan has two regional divisions with headquarters in Osaka and Yokohama. Selected data on the two divisions follow: Sales Osaka Division $ 10,900,000 Net operating income Average operating assets $ 763,000 $ 2,725,000 Yokohama $ 39,000,000 $ 3,510,000 $ 19,500,000 Required: 1. For each division, compute the return on investment (ROI). 2. Compute the residual income for each division assuming the company's minimum required rate of return is 16%. Complete this question by entering your answers in the tabs below. Required 1 Required 2 For each division, compute the return on investment (ROI). ROI Osaka Yokohama % %
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