The income statement for Huerra Company for last year is provided below: Total Unit Sales $24, 000, 000 $ 240.00 Less: Variable expenses 16, 800, 000 168.00 Contribution margin 7, 200, 000 72.00 Less: Fixed expense 3, 600, 000 36. 00 Net operating income 3, 600, 000 36 .00 Less: Income taxes @ 30% 1, 080, 000 10.80 Net income $ 2, 520, 000 $ 25.20 The company had average operating assets of $20,000,000 during the year. Required: 1. Compute the company's ROI for the period using the ROI formula stated in terms of margin and turnover. (Round intermed calculation to 2 decimal places. Enter your percentage answer rounded to 2 decimal places (i.e., 0.1234 should be entered 12.34).) ROI % 2. Consider each of the following questions separately and then compute the new ROI figure. Indicate whether the ROI will incre decrease, or remain unchanged as a result of the events described. a. By using JIT, the company is able to reduce the average level of inventory by $500,000. (The released funds are used to pay o short-term creditors.) (Round intermediate calculation to 2 decimal places. Enter your percentage answer rounded to 2 decima places (i.e., 0.1234 should be entered as 12.34).) ROI %