ABC inc. has 3 divisions which produced the following results last year: Division A: Historical Cost of Investment = $750k / Operating Income $92250 Division B: Historical Cost of Investment = $720k / Operating Income $90k Division C: Historical Cost of Investment = $200k / Operating income $26k

a) caclulate each divisions ROI and RI, assume 10% cost of capital b) Assume that the carrying amonut of the investments is half the historical cost, calculate each divisions ROI and RI, assuming a 10% cost of capital, using the carrying amount. c) Which measure, ROI or RI, is a better indicator of the performance of each division?

Please show work.