Question: 10 1.66 points Selected sales and operating data for three divisions of different structural engineering firms are given as follows: Sales Average operating assets Net
10 1.66 points Selected sales and operating data for three divisions of different structural engineering firms are given as follows: Sales Average operating assets Net operating incone Division A 5 12,400,000 $3,100,000 Minimum required rate of return 7.00% Division D $35,500,000 $ 7,100,000 $ 426,000 7.500 $508,400 Division C $ 20,400,000 $ 5,100,000 $510,000 10.00% eBook Print to References Required: 1. Compute the margin, turnover, and return on investment (ROI) for each division. 2. Compute the residual income (loss) for each division. 3. Assume that each division is presented with an investment opportunity that would yield a 8% rate of return. a. If performance is being measured by ROI, which division or divisions will probably accept the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept the opportunity? Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3A Req 38 Compute the margin, turnover, and return on investment (ROI) for each division. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Margin Turnover Division A % ROI % Division B Division C % % Rag Req 2 > 166 pont 10 P ferences Selected sales and operating data for three divisions of different structural engineering fems are given as flows Average operating assets Het operating incone Required Division A $12,400,000 3,100,000 508,400 7.004 Vision a 35,500,000 7,100,000 1426,000 7.50% Division 1. Compute the margin, turnover, and return on investment (RO0 for each division 2. Compute the residual income (loss) for each division 30,400,830 5,100,000 $10,00 10.00 3. Assume that each division is presented with an investment opportunity that would yield a 8% rate of return a. If performance is being measured by ROI, which division or divisions will probably accept the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept the opportunity? Complete this question by entering your answers in the tabs below. Req 1 Req 3A Req 38 Compute the residual income (loss) for each division. (Do not round intermediate calculations. Loss amounts should be indicated by a minus sign.) Residual income dose) Division A Division Division C Help Save & Ext Sub Check my work 10 166 points Selected sales and operating data for three divisions of different structural engineering firms are given as follows: Sales Average operating t # 12,400,000 $3,100,000 Set operating co Minimus required rate of return Division $5,500,000 1,100,00 426,000 20,400,000 5,180,000 $10,000 P References Required: 508,400 7.00% 1. Compute the margin, turnover, and return on investment (ROS) for each division 2. Compute the residual income (loss) for each division 3. Assume that each division is presented with an investment opportunity that would yield a 8% rate of return a. If performance is being measured by ROI, which division or divisions will probably accept the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept the opportunity? Complete this question by entering your answers in the tabs below. Req Red 2 Reg 38 Assume that each division is presented with an investment opportunity that would yield a 8% rate of return. If performance is being measured by ROL, which division or divisions will probably accept or reject the opportunity? Division A Division B Division C Check my work 10 1.66 points eBook Print References Selected sales and operating data for three divisions of different structural engineering firms are given as follows: Sales Average operating assets Net operating income Minimum required rate of return Required: Division B $35,500,000 $7,100,000 Division A $ 12,400,000 $ 3,100,000 $508,400 7.00% $ 426,000 7.50% Division C $ 20,400,000 $5,100,000 1. Compute the margin, turnover, and return on investment (ROI) for each division. 2. Compute the residual income (loss) for each division. $510,000 10.00% 3. Assume that each division is presented with an investment opportunity that would yield a 8% rate of return. a. If performance is being measured by ROI, which division or divisions will probably accept the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept the opportunity? Complete this question by entering your answers in the tabs below. Req 1 Reg 21 Req 3A Req 38 Assume that each division is presented with an investment opportunity that would yield a 8% rate of return. If performance is being measured by residual income, which division or divisions will probably accept or reject the opportunity? Division A Division B Division C