Question: Answer REQ. 2 and 3 quickly and correctly for a thumbs up. Thanks! Orange Corp has two divisions: Fruit and Flower. The following information for

 Answer REQ. 2 and 3 quickly and correctly for a thumbs
up. Thanks! Orange Corp has two divisions: Fruit and Flower. The following
information for the past year is available for each division Salese Cost
Answer REQ. 2 and 3 quickly and correctly for a thumbs up. Thanks!

Orange Corp has two divisions: Fruit and Flower. The following information for the past year is available for each division Salese Cost of goods sold and operating expenses The operating income Averas favested assets Fruit Division $ 1.320,000 990.000 5 330.000 3 5.000.000 Flower Division 3 1,900,000 1.405.000 S 495,000 5 1.900,000 Orange has established a hurdle rate of 5 percent Required: 1-0. Compute each divisions return on investment (ROI) and residual income for last year 1-b. Determine which manager seems to be performing better 2. Suppose Orange is investing in new technology that will increase each divisions operating income by 5142.000 The total investment required is $2.100,000, which will be split evenly between the two divisions Calculate the Roland residual income for each division after the investment is made 3. Determine whether both managers will support the investment Suppose Orange is investing in new technology that will increase each division's operating income by $142,000. The total investment required is $2,100,000, which will be split evenly between the two divisions. Calculate the Ron and residual income for each division after the investment is made. Enter your Rot answers as a percentage rounded to two decima places, (1.e., 0.1234 should be entered as 12:34 Show less Flower Division Fruit Division 1% ROL Residual Income (Loss) Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Reg 2 Reg 3 Determine whether both managers will support the investment. Fruit Division Manager Flower Division Manager

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