Calculate the bonus award (percent of base salary) that would be given to the manager of each of the following four divisions under the proposed new bonus system. These divisions are representative of the range of divisions within IE.
(Budgeted Operating Profit) – (Budget Operating Assets x 12%) = Economic profit objective
		($000)
Division	Budgeted Operating Profit	Budgeted Operating Assets	Actual Operating Profit	Actual Operating Assets
A	$                1,000	$                  8,000	$                 1,150	$                7,000
B	$                1,000	$                  8,000	$                 4,500	$                7,000
C	$                     50	$                  1,000	$                    300	$                   800
D	$                 (700)	$                  4,000	$                  (300)	$                4,200
E	$                   600	$                  2,000	$                    100	$                1,800

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