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uestion 1: Return on investment (ROI), residual income (RI) Generic Motors Corporation has two divisions Division A Division B Investment (operating assets) $300,000 $1,200,000 Profit
uestion 1: Return on investment (ROI), residual income (RI) Generic Motors Corporation has two divisions Division A Division B Investment (operating assets) $300,000 $1,200,000 Profit $48,000$156,000 The required rate of return (cost of capital) is 10% a year a) Compute return on investment (ROI) for each division. ROI for A ROI for B = % (if your answer is 9.5%, enter 9.5 without the percent sign) b) Compute the residual income (RI) for each division. RI for A-$ R1 for B = $
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