1. Compute return on investment for each center. Using return on investment, which center is most efficient at using assets to generate income? 2. Assume a target income of 10% of average assets. Compute residual income for each center. Which center generated the most residual income? 3. Assume the Electronics center is presented with a new investment opportunity that will yield a 14% return on investment. Should the new investment opportunity be accepted? The target return is 10%.

Requlred Information [The following information applies to the questions displayed below.] Megamart provides the following information on its two investment centers. 1. Compute retum on investment for each center. Using retum on investment, which center is most efficient at using assets to generate income? 2. Assume a target income of 10% of average assets. Compute residual income for each center. Which center generated the most residual income? 3. Assume the Electronics center is presented with a new investment opportunity that will yield a 14% retum on investment. Should the new investment opportunity be accepted? The target return is 10%. Complete this question by entering your answers in the tabs below. Compute return on investment for each center. Using return on investment, which center is most efficient at using assets to generate income? Complete this question by entering your answers in the tabs below. Assume a target income of 10% of average assets. Compute residual income for each center. Which center generated the most residual income? Complete this question by entering your answers in the tabs below. Assume the Electronics center is presented with a new investment opportunity that will yield a 14% return on investment. Should the new investment opportunity be accepted? The target return is 10%