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The South Division of Wiig Compaty reported the following data for the current year: Top mariagement is urhappy with the imvestment center's return on livestment

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The South Division of Wiig Compaty reported the following data for the current year: Top mariagement is urhappy with the imvestment center's return on livestment (ROI). It asks the manager of the 5 outh Diviaion to submit plans to irpprove ROl in the next year. The manager bell eves it is feasibie to consider the following independent courses of sction. 1. Increase saler by $300.000 withno charge in the contribution mar in percentage 2. Reducevariable costs by $150,000. 3. Reduce average operating assets by 4% Retiarnonisingtiment Top management is unhappy with the investment center's return on investment (RO) it asks the manager of the south Divsion to subinit plans to improve ROl in the next yeae. The manager believes it is teasible to conslider the fallowing independent courses of action. 1. Increate sales by $300,000 with no change in the contribution margin percentage 2. Heduce variableconts tr $150,000 : 3. Reduce averagr operating sssets by 4K : Peturn oin investrocht

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