Financial Analysis: ROI, RI, Budgeting, and Life Cycle Income

This assignment provides solutions to financial analysis problems, focusing on Return on Investment (ROI), Residual Income (RI), and budgeting. The first part calculates and compares ROI and RI for different divisions, determining which generates the maximum return on investment and analyzing the impact of a new investment proposal. The second part involves calculating the budgeted life-cycle operating income of a new tablet, considering revenue, R&D, manufacturing, marketing, and distribution costs over a four-year period. The assignment demonstrates the application of financial metrics to evaluate investment decisions and project profitability, offering insights into performance evaluation and financial planning.