Selected operating data for two divisions of Outback Brewing, Ltd., of Australia are given below:
Division SalesAverage operating assetsNet operating incomeProperty, plant, and equipment (net)Queensland$ 4.000.000$ 2.000.000$ 360.000$ 950.000New South Wales$ 7.000.000$ 2.000.000$ 420.000$ 800.000
1. Compute the rate of return for each division using the return on investment (ROI) formula stated in terms of margin and turnover. 2. Which divisional manager seems to be doing the better job? Why?