Selected sales and operating data for three divisions of different structural engineering firms are given...
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Selected sales and operating data for three divisions of different structural engineering firms are given as follows Division B $6,300,000 $10,300,000 $9,400,000 $1,260,000 5,150,000 $1,880,000 S 340,200 968,200249,100 Division A Division C Sales Average operating assets Net operating income Minimum required rate of return 20.00% 18.80% 17.00% Required 1. Compute the return on investment (ROl) for each division using the formula stated in terms of margin and turnover. (Round your answers to 2 decimal places.) Margin Turnover ROI DivisionA Division EB Division C times times times 2. Compute the residual income (loss) for each division. (Loss amounts should be indicated by a minus sign. Round your "Required rate of return" to 2 decimal places.) Division A Division B Division C Average operating assets Required rate of return Required operating income Actual operating income Required operating income (above) Residual income (loss)
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