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[The following information applies to the questions displayed below]. Megamart provides the following information on...

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Accounting

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[The following information applies to the questions displayed below]. Megamart provides the following information on its two investment centers. Compute return on investment for each center. Using return on investment, which center is most efficient at using assets to ienerate income? Assume a target income of 12% of average assets. Compute residual income for each center. Which center generated the iost residual income? . Assume the Electronics center is presented with a new investment opportunity that will yleld a 15% return on investment. hould the new investment opportunity be accepted? The target return is 12%. Compute return on investment for each center. Using return on investment, which center is most efficient at using assets to generate income? Assume a target income of 12% of averege asscts. Compute residual income for each center. Which center generated the most residual income? Assume the Electronics center is presented with a new investment opportunity that will yield a 15% return on investment. Should the new investment opportunity be accepted? The target return is 12%

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