Selected operating data for two divisions of Outback Brewing, Ltd., of Australia are given below:

Required:

1. Compute the rate of return for each division using the return on investment (ROI) formula stated in terms of margin and turnover. (Round your answers to 2 decimal places.)

2. Which divisional manager seems to be doing the better job?

A. Queensland division

B. New South Wales division

Sales Average operating assets Net operating income Property, plant, and equipment (net) Division New South Queensland Wales $1,219,000 $2,550,000 $ 530,000 $ 510,000 $ 73,140 $ 76,500 $ 253,000 $ 203,000 Margin Turnover ROI Queensland division % % New South Wales division % %