The Empire Hotel is a full-service hotel in a large city. Empire is organized into three departments that are treated as investment centers. Budget information for the coming year for these three departments is shown as follows. The managers of each of the departments are evaluated and bonuses are awarded each year based on ROI. Hotel Rooms $ 923,00 $ 5,224,000 $ 2,000,00 Average Investment Sales revenue Operating expenses Operating earnings 5 10,000,000 8,414,000 Required: a. Compute the Rol for each department. Use the DuPont method to analyze the return on sales and capital turnover. Assume the Health Spa is considering installing new exercise equipment Upon investigating the manager of the division finds that the equipment would cost $40,000 and that operating eamings would increase by $8,000 per year as a result of the new equipment b-1. What would be the ROI of investment in the new exercise equipment and Health Spa? b-2. Would the manager of the Health Spa be motivated to undertake such an investment? c-1. Compute the residual income for each department of the minimum required return for the Empire Hotel is 17 percent. c-2. What would be the impact of the investment on the Health Spa's residual income? Complete this question by entering your answers in the tabs below. Rega Faq B1 Reg BZ ReqC1 Roq c2 Compute the residual income for each department if the minimum required return for the Empire Hotel is 17 percent. (Loss amounts should be indicated with a minus sign.) Reg A Regel Reg B2 Reg C1 Reqcz Departments Compute the ROI for each department. Use the DuPont method to analyze the return on sales and capital turnover. (Round your percentage answers to 2 decimal places 1., 0.1234 should be considered as 12.34.)) Residual Income loss) Hotel Rooms Departments ROI Return on Sales Capital Turnover Restaurants Health Spa Hotel Rooms Restaurants Health Spa Reg A Reg 02 Reg C1 Reg C2 What would be the ROI of Investment in the new exercise equipment and Health Spa? (Round your percentage answers to 2 decimal places i.e., 0.1234 should be considered as 12.34.)) Reg A Reg B1 Reg B2 Reg C: Reg C2 Exercise Equipment Health Spa What would be the impact of the investment on the Health Spa's residual income? ROL Impact of the investment Reg A Reg 1 Req B2 ReqC1 Reg CZ Would the manager of the Health Spa be motivated to undertake such an investment? Would the manager motivated