Compute sabrita residual income

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Question - Sabrita in Mexico is another one of PepsiCo's divisions. The division had assets of $990 million, operating income of $680 million, and sales revenue of $21,750 million.

1. Compute Sabrita's ROI, sales margin, and capital turnover.

2. Compute Sabrita's residual income, assuming the minimum acceptable rate of return is 30%.

Reference no: EM132179764

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