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Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Megamart provides the following information on its two irvestinent centers. Exercise 24-10 (Algo) Computing return on investment and residual income; investing decision LO A1 1. Compute return on investment for each center. Using return on investment, which center is most efficient at using assets to 2. Assume a target income of 10% of average assets. Compute residual income for each center. Which center generated the most generate income? 3. Assume the Electronics center is presented with a new investment oppoitunity that will yield a 14 se tetuin on investiment. 5hould residual income? the new investment opportunity be accepted? The target return is 10% Complete this question by entering your answers in the tabs below. Compute return on investment for each center, Using return on investment, which center is most efficient at using assets to generate Income? Complete this question by entering your answers in the tabs below. Assume a target income of 10% of average assets. Compute residual income for each center. Which center generated tive most residual incorne? 2. Assume a target income of 10% of average assets. Compute residual income for each center. Which center genertic residual income? 3. Assume the Electronics center is presented with a new investment opportunity that will yield a 14\% return on trvestrim the new investment opportunity be accepted? The target return is 10%. Complete this question by entering your answers in the tabs below. Assume the Electronics center is presented with a new investment opportunity that will yleld a 14Ns retum on investment. Should the new investment opportunity be accepted? The target return is 10%

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