Show transcribed image text Suppan Company manufactures a variety of tools and industrial equipment. 1 answer below »

Show transcribed image text Suppan Company manufactures a variety of tools and industrial equipment. The company operates through three divisions. Each division is an investment center. Operating data for the Home Division for the year ended December 31, 2014, and relevant budget data are as follows. Average operating assets for the year for the Home Division were $1,999,120 which was also the budgeted amount. Prepare a responsibility report for the Home Division. (List variable costs before fixed costs. Round ROI to 1 decimal place, e.g. 1.5.) Compute the expected ROI in 2014 for the Home Division, assuming the following independent changes to actual data. (Round ROI to 1 decimal place, e.g. 1.5.) (1) Variable cost of goods sold is decreased by 6%. (2) Average operating assets are decreased by l2%. (3) Sales are increased by $199,290, and this increase is expected to increase contribution margin by $84,920.

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