Coolbrook Company has the following information available for the past year: Sales revenue Cost of goods sold and operating expenses Net operating income Average invested assets River Division $ 1,204,000 882,000 Stream Division $ 1,817,000 1,290,000 $ 322,000 $ 527,000 $ 1,070,000 $ 1,400,000 The company's hurdle rate is 6.01 percent. Required: 1. Calculate return on investment (ROI) and residual income for each division for last year. 2. Recalculate ROI and residual income for the division for each independent situation that follows: a. Operating income increases by 11 percent. b. Operating income decreases by 11 percent. c. The company invests $258,000 in each division, an amount that generates $114,000 additional income per division. d. Coolbrook changes its hurdle rate to 4.01 percent