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Medina Divisions

Price: $1.99


Presented below is selected information for three regional divisions of Medina
Company.

  North West South
Contribution margin   300,000  500,000  400,000
Controllable margin   140,000  360,000  210,000
Average operating assets   1,000,000  2,000,000  1,500,000
Minimum rate of return  13% 16% 10%

Compute the return on investment for each division. Round to 1 decimal place.
Compute the residual income for each division. Round to 0 decimal places.

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