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The Street Division of Labrosse Logistics just started operations. It purchased depreciable assets costing $ 3 9 . 0 million and having a four -

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The Street Division of Labrosse Logistics just started operations. It purchased depreciable assets costing $39.0 million and having a four-year expected life, after which the assets can be salvaged for $7.8 million. In addition, the division has $39.0 million in assets that are not depreciable. After four years, the division will have $39.0 million available from these non depreciable assets. This means that the division has invested $78 million in assets with a salvage value of $46.8 million. Annual operating cash flows are $12.6 million. In computing ROI, this division uses beginning-of-year asset values in the denominator. Depreciation is computed on a straight-line basis, recognizing the salvage values noted. Ignore taxes.
Required:
a. & b. Compute ROI, using net book value and gross book value.
Note: Enter your answers as a percentage rounded to 2 decimal place (i.e.,32.10).
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