Tan Corporation of Japan has two regional divisions with headquarters in Osaka and Yokohama. Selected data on the two divisions follow:

Required:

1. For each division, compute the margin, turnover, and return on investment (ROI). Where necessary, carry computations to two decimal places.

2. Assume that the company evaluates performance using residual income and that the minimum required rate of return for any division is 15%. Compute the residual income for each division.

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Division Osaka Yokohama $3,000,000 $210,000 $1,000,000 $9,000,000 $720,000 $4,000,000 Sales . Net operating income Average operating assets