The Plastics Division of Minock Manufacturing currently earns $$3\mathrm{.}22$ million and has

divisional assets of $$23$ million. The division manager is considering the acquisition of a

new asset that will add to profit. The investment has a cost of $$5,484,000$ and will have

a yearly cash flow of $$1,463,000.$ The asset will be depreciated using the straight$-$line

method over a five$-$year life and is expected to have no salvage value. Divisional

performance is measured using ROI with beginning$-$of$-$year net book values in the

denominator. The company's cost of capital is $7$ percent. Ignore taxes. The division

manager learns that there is an option to lease the asset on a year$-$to$-$year lease for

$$1,176,000$ per year. All depreciation and other tax benefits would accrue to the lessor.

Required:

What is the divisional ROI if the asset is leased?

Note: Enter your answer as a percentage rounded to $1$ decimal place $($i$.$e$.,32\mathrm{.}1).$