Question: This question is on Management Accounting and Evaluation. QUESTION 2 The information regarding status and operations for Division B of Sysmade Bhd as follows: Division

This question is on Management Accounting and Evaluation. QUESTION 2 The

This question is on Management Accounting and Evaluation.

QUESTION 2 The information regarding status and operations for Division B of Sysmade Bhd as follows: Division Divisional investment Divisional profit Divisional sales 750.000 275,000 $1.800,000 Each division is required to earn a minimum return of 20% on its investment in operating assets. Net opern ting ThcoMe average operating assets a. Compute the ROI for Division B. (5 marks) b. Division B could increase its profit by $10,000 by increasing its investment by $40,000. Compute its total residual income. (5 marks) QUESTION 3 Evaluation is part of performance measurement. Briefly discuss on purpose of evaluation.(Based on talk by Sir Ricarddo, Unicef)

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