Ferro Wares is a division of a major corporation

(TCO D) Ferro Wares is a division of a major corporation. The following data are for the latest year of operations.

Sales $33,040,000
Net Operating Income $1,453,760
Average Operating Assets $8,000,000
The company's minimum required rate of return 18%

Required:

i. What is the division's ROI?

ii. What is the division's residual income?

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