The following selected data pertain to the belt division of Allen Corp. for last year:

Sales $500,000

Average Operating Assets $200,000

Operating Income $ 20,000

Turnover 2.5 times

Minimum required return 20.0%

1. The Return on Investment 2 marks
2. The Residual Income 2 marks

Harstin Corporation has provided the following data:

Sales $625,000

Gross Margin $ 70,000

Operating Income $ 50,000 Shareholders Equity $ 90,000

Average Operating Assets $250,000

Residual Income $ 20,000

Compute the following:

3. The Margin 2 marks
4. The Turnover 2 marks

Make sure to show ALL work! A majority of the marks are based on the work, not the final answer. To receive full credit for each question, you must show your work, and round your final answers to 2 decimal points correctly.