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The New Products Division, of XYZ Company, had operating income of $9,100,000 and operating assets of $45,900,000 during the current year. The New Products Division

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The New Products Division, of XYZ Company, had operating income of $9,100,000 and operating assets of $45,900,000 during the current year. The New Products Division has developed a potential new product that would require $9,600,000 in operating assets and would be expected to provide $2,500,000 in operating income each year. XYZ has set a target return on investment (ROI) of 20% for each of its divisions. Assuming that the new product is put into production, calculate the division's ROI. Show work. HTML Editor

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