8 00 10 points Problem 12-4 Comparing Performance Using ROI (LO2-CC4, 6) Guenther Corporation uses the return on investment (ROI) measure to evaluate its managers. A summary of the performance of two divisions is given below: Division A Division B Average operating assets $240,000 $400,000 eBook Net income 48,000 72,000 References The minimum required return on operating assets for Guenther Corporation is 14%. Required: 1-a.Compute the return on investment of Division A and Division B. Division A Division B Return on investment % % 1-b.According to Guenther's senior management, which division is the better performer? Division A Division B 2- Compute the residual income of Division A and Division B. a. Division A Division B Residual income References 2- b. According to Guenther's senior management, which division is the better performer? Division A O Division B 3. Suppose the manager of Division A were offered a one-year project that would increase his average operating assets by $100,000 and increase profit by $15,000. a. Would the manager accept the project under the current method of performance evaluation? Accept Reject b. Using your alternative measure of performance evaluation (as in part 2 above), do you think the manager should accept the project? Accept O Reject