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 $ 1,220,000 900,000 Stream Division $ 1,810,000 1,283,000 $ 527,000 $ 320,000 $1,150,000 $ 1,560,000 The company's hurdle rate is 7.01 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 9 percent. b. Operating income decreases by 12 percent. c. The company invests $257,000 in each division, an amount that generates $103,000 additional income per division. d. Coolbrook changes its hurdle rate to 5.01 percent