Question: 11 thank you!!! Selected sales and operating data for three divisions of different structural engineering firms are given as follows: Sales Average operating assets Net
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thank you!!!
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 Division A $ 12,360,000 $ 3,090,000 $ 494,400 7.00% Division B $ 28,360,000 $ 7,890,000 $ 453,768 7.58% Division C $ 25,450,000 $ 5,990,000 636, 250 12.Sex Required: 1. Compute the return on Investment (ROI) for each division using the formula stated in terms of margin and turnover. 2 Compute the residual income (loss) for each division 3. Assume that each division is presented with an Investment opportunity that would yleld a 8% rate of return. a. If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept or reject the opportunity Complete this question by entering your answers in the tabs below. Rey 1 Reg 2 Reg 31 Red 3B Compute the return on investment (ROI) for each division using the formula stated in terms of margin and tumover. Do not round intermediate calculations. Round your answers to 2 decimal places. Margin Turnover ROI % Division A Division B Division C % Reg 2 > 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 Division A $ 12,360,000 $ 3,990,000 $ 494,400 7.80% Division B $ 28,360,000 $ 7,990,000 $ 453, 760 17.5ex Division de $ 25,450,000 $ 5,998.000 $ 636, 250 12.5ex Required: 1. Compute the return on Investment (ROI) for each division using the formula stated in terms of margin and turnover. 2 Compute the residual income (loss) for each division. 3. Assume that each division is presented with an Investment opportunity that would yleld a 8% rate of return. a. If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept or reject the opportunity? Complete this question by entering your answers in the tabs below. Reg 1 Rey 2 Rey 3A Reg 36 Compute the residual income (loss) for each division. (Do not round intermediate calculations. Loss amounts should be indicated by a minus sign.) Division A Division B Division C Residual income (loss) Req1 Req3A > 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 Division A $ 12,368,000 $ 3,090,000 $ 494,400 7.00% Division B $ 28, 360,800 $ 7,990,000 $ 453,760 7.50% Division $ 25,450,000 $ 5,090,000 $ 636, 250 12.50% Required: 1 Compute the return on Investment (ROI) for each division using the formula stated in terms of margin and turnover. 2 Compute the residual Income (loss) for each division. 3. Assume that each division is presented with an investment opportunity that would yleld a 8% rate of return a. If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity? b. If performance is being measured by residual income, which division or divisions will probably accept or reject the opportunity? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req 3A Red 3B Assume that each division is presented with an investment opportunity that would yield a 9% rate of return. If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity? Division A Division B Division C Reg 2 Req3B 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 Division A $ 12,360,000 $ 3,990,000 494,400 7.03% Division B $ 28,360,000 $ 7,090,000 $ 453, 760 7.58% Division C $ 25,450,000 $ 5,090,000 $ 636, 250 12.58% Required: 1. Compute the return on Investment (ROI) for each division using the formula stated in terms of margin and turnover. 2 Compute the residual income (loss) for each division. 3. Assume that each division is presented with an investment opportunity that would yleld a 8% rate of return. a. If performance is being measured by ROI. which division or divisions will probably accept or reject the opportunity? b. If performance is being measured by residual Income, which division or divisions will probably accept or reject the opportunity? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3A Reg 3B 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 Reg 3A
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