1. The following summary information is available regarding XYZ Plc.

XYZ Plc.
Profit Plan
For the year ending Dec. 31, 2020
Sales Revenue	$12,600,000
Net Income	$3,720,000
Total Assets	$9,400,000
Operating Assets	$3,400,000
Total Liabilities	$3,200,000
WACC	21.6%
Tax rate	10%
Return from Project A	$328,000
Cost of project A	$273,000

Required: Compute and analyze the:

• Return on Investment (ROI) for project A
• Return on Equity (ROE) and its components for the company.
• Residual income (RI)