roi photo products inc has three divisions digital film and video this is the same c 1571661

ROI. Photo Products, Inc., has three divisions—Digital, Film, and Video. (This is the same company as the previous exercise. This exercise can be assigned independently.) Segmented income statement information for the most recent fiscal year ended December 31 is shown as follows. Assume average operating assets totaled $15,000,000 for the Digital division, $6,500,000 for the Film division, and $17,500,000 for the Video division.

Required:

a. Calculate ROI for each division.

b. What does ROI tell us about each division? Indicate why this measure is useful in evaluating investment centers.