What will be the new return


The United World Corporation has three subsidiaries.                                        Computers               Magazines                     CableTV Sales                              $16,000,000               $4,000,000                     $8,000,000 Net income(after taxes)  $1,000,000               $160,000                           $600,000 Assets                             $5,000,000               $2,000,000                        $5,000,000 A) Which division has the lowest return on sales? B) Which division has the highest return on assets? C) Compute the return on assets for the entirecorporation. D) If the $5,000,000 investment in the cable TV division issold off and redeployed in the computer division at the same rateof return on assets currently achieved in the computer division,what will be the new return on assets for the entirecorporation?

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Accounting Basics: What will be the new return
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