Selected operating data for two divisions of Outback Brewing Ltd. of Australia are given below (the currency is the Australian dollar denoted here as
Queensland New South
Sales $4000000 $7000000
Average operating assets $2000000 $2000000
Net operating income $360000 $420000
Property plant and equipment (net) $950000 $800000 Requirement 1: Compute the rate of return for each division using the return on investment (ROI) formula stated in terms of margin and turnover. ROI
New South Wales ? Requirement 2:
Which divisional manager seems to be doing the better job?