The three divisions of Yummy Foods are Snack Goods, Cereal, and Frozen Foods. The divisions are structured as investment centers. The following responsibility reports were prepared for the three divisions for the prior year:

1. Which division is making the best use of invested assets and should be given priority for future capital investments?
2. Assuming that the minimum acceptable rate of return on new projects is 19%, would all investments that produce a return in excess of 19% be accepted by the divisions?
3. Can you identify opportunities for improving the company€™s financialperformance?

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Snack Goods Cereal $2200,000 $2,520,000 $2,100000 366600 1122000 976800 833,400 1398,000 $1,123,200 Frozen Foods Revenues Operating expenses Income from operations before service department charges Service department charges: 300000 000004000 Promotionn 300000 600,000 468,000 Legal Total service department charges Income from operations Invested assets 137,400 437400 396,000 243,600 235,200 703 200 843600 554400 $2000000 1,680000 1750000