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The Western Division of Claremont Company had net operating income of $ 1 4 1 , 0 0 0 and average invested assets of $
The Western Division of Claremont Company had net operating income of $ and average invested assets of $ Claremont has a required rate of return of percent. Western has an opportunity to increase operating income by $ with a $ investment in assets.
Compute Western Divisions return on investment and residual income currently and if it undertakes the project.
Note: Enter your ROI answers as a percentage rounded to two decimal places, ie should be entered as Round your Residual Income Loss answers to the nearest whole dollar.
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