11-18 in excel with formulas please

per grades. do some- we cannot utilization PROBLEM 11-18 Return on Investment (Roland Residual Income L011-1, L011-2 Low headquarters wants us to add that new product line." said Dell Havasi manager of Billings Company's Office Products Division."But I want to see the numbers before I make any move. Our division's return on investment (ROI) has led the company for three years, and I don't want any Billings Company is a decentralized wholesaler with five autonomous divisions. The divi- says are evaluated on the basis of ROI, with year-end bonuses given to the divisional managers who have the highest ROIs. Operating results for the company's Office Products Division for this letdown." year are given below: me of the care about Cime deliv apsed time all increase ill be able from our drastically Sales Variable expenses Contribution margin Fixed expenses Net operating income Divisional average operating assets $10,000,000 6.000.000 4,000,000 3.200.000 $ 800,000 $4,000,000 to make a -ur flexible ure perfor isions that The company had an overall return on investment (ROI) of 15% this year (considering all divisions). Next year the Office Products Division has an opportunity add a new product line that would require an additional investment that would increase average operating assets by $1,000,000. The cost and revenue characteristics of the new product line per year would be: d you pull Sales Variable expenses Fixed expenses. $2,000,000 60% of sales $640,000 gy. change its that would asures fail Required: 3. tegy. Use hether the asures that the strate 1. Compute the Office Products Division's ROI for this year 2. Compute the Office Products Division's ROI for the new product line by itsell. Compute the Office Products Division's ROI for next year assuming that it performs the same as this year and adds the new product line. you were in Dell Havasi's position, would you accept or reject the new product line? Why do you suppose headquarters is anxious for the Office Products Division to add the new 4 RE Explain 5 ses do you product line