Wescott Company has three divisions: A, B, and C. The company has a hurdle rate of 8 percent. Selected operating data for the three divisions are as follows: Sales revenue Cost of goods sold Miscellaneous operating expenses Interest and taxes Average invested assets Division A Division B Division C $1,290, eee $1,053,000 $1,052,000 797,000 773,000 764,000 71, eee 59,000 60, eee 55, eee 48,00 48,eee 9,511,000 2,259,000 3,716,eee Wescott is considering an expansion project in the upcoming year that will cost $5.7 million and return $521.000 per year. The project would be implemented by only one of the three divisions Required: 1. Compute the ROI for each division 2. Compute the residual income for each division, 3. Rank the divisions according to the ROI and residual income of each 4-a. Compute the return on investment on the proposed expansion project. 4-b. Is this an acceptable project? 5. Without any additional calculations, state whether the proposed project would increase or decrease each division's ROL 6. Compute the new ROI and residual income for each division if the project was implemented within that division Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3 Req 4A Reg 4B Reqs Reg 6 Compute the ROI for each division. (Do not round your intermediate calculations. Round your percentage answer to 2 decimal places, (1.e. 0.1234 should be entered as 12.34%.)) ROI Division A Division B Division Sales revenue Cost of goods sold Miscellaneous operating expenses Interest and taxes Average invested assets Division A Division B Division C $1,290,000 $1,053,000 $1,052, 797, e8e773,00 764, eee 71,000 59,000 60,000 55, eee 48,00 48,000 9,511,000 2,259,000 3,716,000 Wescott is considering an expansion project in the upcoming year that will cost $5.7 million and return $521,000 per year. The project would be implemented by only one of the three divisions. Required: 1. Compute the ROI for each division. 2. Compute the residual income for each division 3. Rank the divisions according to the ROI and residual income of each. 4-a. Compute the return on investment on the proposed expansion project. 4-b. Is this an acceptable project? 5. Without any additional calculations, state whether the proposed project would increase or decrease each division's ROI. 6. Compute the new ROI and residual income for each division if the project was implemented within that division, Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3 Req 4A Reg 4B Reg 5 Reg 6 Compute the residual income for each division. (Loss amounts should be indicated by a minus sign.) Residual income (Loss) Division A Division B Division C Reg 3 > Sales revenue Cost of goods sold Miscellaneous operating expenses Interest and taxes Average invested assets Division A Division B Division C $1,290,000 $1,053,000 $1,052,000 797,000 773,000 764,000 71,000 59,000 60,000 55,000 48,000 48,000 9,511,000 2,259,000 3,716,000 Wescott is considering an expansion project in the upcoming year that will cost $5.7 million and return $521,000 per would be implemented by only one of the three divisions. Required: 1. Compute the ROI for each division. 2. Compute the residual income for each division. 3. Rank the divisions according to the ROI and residual income of each. 4-a. Compute the return on investment on the proposed expansion project. 4-b. Is this an acceptable project? 5. Without any additional calculations, state whether the proposed project would increase or decrease each division's 6. Compute the new ROI and residual income for each division if the project was implemented within that division. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Req 6 Rank the divisions according to the ROI and residual income of each. Rank Division A Division B Division C Sales revenue Cost of goods sold Miscellaneous operating expenses Interest and taxes Average invested assets Division A Division B Division C $1,290,000 $1,053,000 $1,052,000 797,000 773,000 764,000 71,000 59,000 60,000 55, 48,000 48,000 9,511,000 2,259,000 3,716,000 Wescott is considering an expansion project in the upcoming year that will cost $5.7 million and return $521.000 per year. The pro would be implemented by only one of the three divisions. Required: 1. Compute the ROI for each division, 2. Compute the residual income for each division 3. Rank the divisions according to the ROI and residual income of each. 4-a. Compute the return on investment on the proposed expansion project. 4-b. Is this an acceptable project? 5. Without any additional calculations, state whether the proposed project would increase or decrease each division's ROI. 6. Compute the new ROI and residual income for each division if the project was implemented within that division. ences Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req31 Req 4A Reg 48 Reg 5 Reg 6 Compute the return on investment on the proposed expansion project. (Round your percentage answer to 2 decimal places, (1.e. 0.1234 should be entered as 12.34%.)) Return on investment of Proposed Expansion Project ( Req3 Req 4B > Sales revenue Cost of goods sold Miscellaneous operating expenses Interest and taxes Average invested assets Division A Division B Division C $1,290,000 $1,053,000 $1,052,000 797,880 773,892 764,000 59,eee 60,000 55,000 48,00 48,000 9,511,800 2,259, eee 3,716,eee Wescott is considering an expansion project in the upcoming year that will cost $5.7 million and return $521,000 per year. The project would be implemented by only one of the three divisions Required: 1. Compute the ROI for each division, 2. Compute the residual income for each division 3. Rank the divisions according to the ROI and residual income of each 4-a. Compute the return on investment on the proposed expansion project 4-b. Is this an acceptable project? 5. Without any additional calculations, state whether the proposed project would increase or decrease each division's ROI. 6. Compute the new ROI and residual income for each division if the project was implemented within that division. Complete this question by entering your answers in the tabs below. Req 1 Reg 2 Roq3 Reg 4 Reg NA ROG AB Req 48 Reg 5 Reas Reg 6 Rego Is this an acceptable project? Is this an acceptable project? Sales revenue Cost of goods sold Miscellaneous operating expenses Interest and taxes Average invested assets Division A Division B Division C $1,290,000 $1,053,000 $1,052,000 797,000 773,000 764,000 71, eee 59, eee 60,eee 55, 48,800 48,eee 9,511,000 2,259,000 3,716,000 Wescott is considering an expansion project in the upcoming year that will cost $5.7 million and return $521,000 per year. The project would be implemented by only one of the three divisions. Required: 1. Compute the ROI for each division, 2. Compute the residual income for each division 3. Rank the divisions according to the ROI and residual income of each 4-a. Compute the return on investment on the proposed expansion project. 4-b. Is this an acceptable project? 5. Without any additional calculations, state whether the proposed project would increase or decrease each division's ROI 6. Compute the new ROI and residual income for each division if the project was implemented within that division Complete this question by entering your answers in the tabs below. Req1 Req 2 Reg 3 Reg 4A Reg 4B Req 5 Req6 Without any additional calculations, state whether the proposed project would increase or decrease each division's ROI. Division A Division B Division C Sales revenue Cost of goods sold Miscellaneous operating expenses Interest and taxes Average invested assets UlVision AUV1510n UlVision $1,290,000 $1,053,000 $1,052,000 797,000 773,089 764,000 71, eee 59,00 60,000 55,800 48,eee 48,000 9,511,800 2,259, eee 3,716,000 Wescott is considering an expansion project in the upcoming year that will cost $5.7 million and return $521.000 per year. The project would be implemented by only one of the three divisions Required: 1. Compute the ROI for each division 2. Compute the residual income for each division 3. Rank the divisions according to the ROI and residual income of each. 4-0. Compute the return on investment on the proposed expansion project. 4-b. Is this an acceptable project? 5. Without any additional calculations, state whether the proposed project would increase or decrease each division's ROI 6. Compute the new ROI and residual income for each division if the project was implemented within that division Complete this question by entering your answers in the tabs below. Reg 1 Reg 4 Red 48 Reqs Reg 6 Compute the new ROI and residual income for each division if the project was implemented within that division (Loss amounts should be entered with a minus sign. Enter your ROI percentage answers to 2 decimal places, (.e., 0.1234 should be entered as 12.34%.)) Residual ROI Income (Loss) Division A Division B Division C