Exercise 10-21

Presented below is selected financial information for two divisions of Samberg Brewing. Supply the missing information for the lettered items. (Round minimum rate of return and ROI to 1 decimal place, e.g. 10.5% and round average operating assets to 0 decimal places e.g. 58,971.)

Lager Lite Lager Contribution margin $499,700 $300,800 Controllable margin 199,900 (c) Average operating assets $ (a) $1,200,700 Minimum rate of return % (b) 12 % Return on investment 20 % % (d) Residual income $100,400 $204,200