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Three divisions of Jameson Co. report the following sales and operating data:Fitness TrainingSpa ServicesAthletic WearSales$690,000$890,000$700,000Average operating assets$172,500$222,500$140,000Operating income$27,600$35,600$35,000Minimum required rate of return12%14%12% 2. Compute the

Three divisions of Jameson Co. report the following sales and operating data:Fitness

TrainingSpa

ServicesAthletic

WearSales$690,000$890,000$700,000Average operating assets$172,500$222,500$140,000Operating income$27,600$35,600$35,000Minimum required rate of return12%14%12%

image text in transcribedimage text in transcribed
2. Compute the residual inoome for eaoh division. WW ___ 3. Assume that eaoh division is presented with an investment op|::-ortm1it'_.ur that would yield a rate of return of 19%. a. If performenoe is being measured by ROI, which division or divisions will probably eooept the opportunity? _ _ h. if performanoe is being measured by residual homes, which division or divisions will |:Juro|:n~ai'.ltglr aooept the opportunity":' _ _ mecwr _ Three divisions of Jemeson Co. report the following sales and operating data: Frineee Spa Attietie Treini'ig Servioee Wear Sales 5: EQDJJDD $ B $ T Average operating assets 1": '1?2,5 5 22250th $ '14 Operating income $ 2?,EIJIJ $ 35.6% $ 35,L'IEID Minimum required rate of return 12% 14% 12% Required: \"I. Compute the ROI for each division. using the fon'nula stated in terms of margin and turnover. -e -e -a 2. Compute the residual inoome for eaoh division

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