Craylon Corp Has Three Divisions, Which Operate Autonomously

question 42

Essay

Craylon Corp has three divisions, which operate autonomously. Their results for 2015 were as follows:

The company's desired rate of return is 15%.
Required:
a.Compute each division's ROI. Round to three decimal places.
b.Compute each division's residual income.

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Definitions:

Blood Vessel

Tubular structures carrying blood through the tissues and organs; a vein, artery, or capillary.

Constrict

To constrict means to narrow or become tighter, often referring to the reduction in diameter of blood vessels or other tubular structures in the body.

Splanchnic Nerve

Nerves that innervate the viscera, transmitting information to and from the visceral organs to the central nervous system.

Sympathetic Chain

A part of the autonomic nervous system consisting of a series of ganglia that run alongside the spinal column and influence internal organs by releasing neurotransmitters.