Zeta Corporation has four divisions. The following financial statements pertain to the division named "Sigma Division."

Sigma Division Income Statement for the Year Ended December 31, Year 9:

• Sales Revenue: $240,000
• Cost of Goods Sold: $140,000
• Gross Margin: $100,000
• Operating Expenses: $35,000
• Depreciation Expense: $15,000
• Operating Income: $50,000
• Nonoperating Income: $12,000
• Loss on Sale of Assets: $6,000
• Net Income: $56,000

Sigma Division Balance Sheet as of December 31, Year 9:

• Cash: $22,000
• Accounts Receivable: $42,000
• Inventory: $56,000
• Assets (less accumulated depreciation): $80,000
• Total Assets: $200,000
• Accounts Payable: $20,000
• Notes Payable: $40,000
• Stockholders' Equity: $140,000

Required:

1. Calculate the ROI for Sigma Division.
2. Zeta Corporation has a desired ROI of 15%. Sigma Division has a chance to invest $80,000 at an ROI of 17%. Calculate the new ROI if the investment is made.
3. Determine the net profit margin for Sigma Division.
4. Compute the asset turnover ratio for Sigma Division.
5. Evaluate whether Sigma Division met the desired ROI after the new investment.