The Sta. Marie Division of Pacific Media Corporation just started operations. It purchased depreciable assets costing $50 million and having a four-year expected , after which the assets can be salvaged for $10 million. In addition, the division has 550 million in assets that are not depreciable. After four years, the division will have $50 million available from these nondepreciable assets. This means that the division has invested $100 million in assets with a salvage value of $60 million. Annual depreciation is $10 million Annual operating cash flows are $30 millionn computing ROI, this division uses end-of-year assef values in the denominator. Depreciation is computed on a straight line basis, recognizing the salvage values noted, Ignore taxes. Assume that all cash flows increase 10 percent at the end of each year. This has the following effect on the assots' replacement cost and annual cash flows. End of Year Replacement Cost $ 100,000,000 * 1.13 $110.000.000 $ 110,000,000 1.1 = $121,000,000 $ $ Annual Cash Flow 30,000,000 1.1 = $33,000,000 33.000.000 1.1 = $36,300,000 Depreciation is as follows. Year For the Year $ 11,000,000 12.100.000 13,310.000 14.541.000 "Accumulated $11,000,000 (-10% $110.000.000) 24 200 000 20% 121.000.000) 39.830 000 58. 564.000 Note that accumulated depreciation is 10 percent of the gross book value of depreciable assets after one year, 20 percent after two years, and so forth. Required: a. & b. Compute ROI using historical cost, netbook value and gross book value c. & d. Compute ROI using current cost, netbook value and gross book value Complete this question by entering your answers in the tabs below. Reg A and B Reg C and D Compute ROI using historical cost, net book value and gross book value. (Enter your answers as a percentage rounded to 1 decimal place (.e., 32.1).) ROI Historical Cost Net Book Value Gross Book Value Year 1 Year 2