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  3. the following data are available for two divisions

The following data are available for two divisions of Solomons Company: North Division South Division...

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Accounting

The following data are available for two divisions of Solomons Company: North Division South Division Division operating profit $ 7,000,000 $ 39,000,000 Division investment 28,000,000 260,000,000 The cost of capital for the company is 10 percent. Ignore taxes. Requirement 1: (a) What is the ROI for two divisions? (Omit the "%" sign in your response.) North division % South division % (b) If Solomons measures performance using ROI, which division had the better performance? Requirement 2: (a) What is the economic value added (EVA) for two divisions? (Omit the "$" sign in your response.) North division $ South division $ (b) If Solomons measures performance using economic value added, which division had the better performance? (The divisions have no current liabilities.) Requirement 3: (a) What is the economic value added (EVA) for two divisions if the company's cost of capital were 20 percent? (Negative amounts should be indicated by a minus sign. Omit the "$" sign in your response.) North division $ South division $

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