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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 Net operating

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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 Net operating income Average operating assets Required: Division Osaka $ 9,800,000 $ 588,000 $ 2,450,000 Yokohama $ 28,000,000 $ 2,240,000 $ 14,000,000 1. For each division, compute the return on investment (ROI). 2. Assume that the company evaluates performance using residual income and that the minimum required rate of return for any division is 14%. Compute the residual income for each division. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Assume that the company evaluates performance using residual income and that the minimum required rate of return for any division is 14%. Compute the residual income for each division. Residual income Osaka Yokohama < Required 1 Required 2 >

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