Use the following information for the Exercises below. [The following information applies to the questions displayed below.) A food manufacturer reports the following for two of its divisions for a recent year. ($ millions) Invested assets, beginning Invested assets, ending Sales Operating income Beverage Division $ 2,681 2,603 2,691 359 Cheese Division $4,476 4,410 3,935 644 Exercise 22-12 Return on investment LO A1, A2 1. Compute return on investment. 2. Compute profit margin. 3. Compute investment turnover for the year. Required 1 Required 2 Required 3 Compute return on investment. (Enter your answers in millions.) Choose Numerator: Return on Investment 1 Choose Denominator: / Return on Investment Return on investment Investment Center Beverage Cheese / / Required 1 Required 2 Required 3 Compute profit margin. (Enter your answers in millions.) Choose Numerator: Profit Margin 1 Choose Denominator: / = Profit Margin Profit margin 11 Investment Center Beverage Cheese 1 Required 1 Required 2 Required 3 Compute investment turnover for the year. (Enter your answers in millions.) Choose Numerator: Investment Turnover 1 Choose Denominator: 1 1 1 Investment Turnover Investment turnover Investment Center Beverage Cheese 11 Dured Exercise 22-13 Residual income LO A1 Assume that each of the company's divisions has a required rate of return of 7%. Compute residual income for each division. (Enter your answers in millions.) ($ millions) Beverage Cheese Targeted return Target income Residual Income Beverage Cheese Residual income