Coolbrook Company has the following information available for the past year:

The company's hurdle rate is $7\mathrm{.}01$ percent.

Required:

Calculate return on investment $($ROI$)$ and residual income for each division for last year.

Recalculate ROI and residual income for each division for each independent situation that follows:

a$.$ Operating income increases by $9$ percent.

b$.$ Operating income decreases by $11$ percent.

c$.$ The company invests $$248,000$ in each division, an amount that generates $$110,000$ additional income per division,

d$.$ Coolbrook changes its hurdle rate to $5\mathrm{.}01$ percent.

Answer is complete but not entirely correct.

Complete this question by entering your answers in the tabs below.

Req $2A$

Calculate return on investment $($ROI$)$ and residual income for each division for last year:

Note: Enter your ROI answers as a percentage rounded to two decimal places, $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}34\%.)$

Recalculate ROI and residual income for each division for the independent situation that follows: The company invests

$$248,000$ in each division, an amount that generates $$110,000$ additional income per division.

Note: Enter your ROI answers as a percentage rounded to two decimal places, $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}34\%.).$

Round your "Residual Income $($Loss$)"$ answer to the nearest whole dollars. Loss amounts should be indicated with a minus

sign.

Show less A

Req $1$

Recalculate ROI and residual income for each division for the independent situation that follows: Coolbrook changes its hurdle

rate to $5\mathrm{.}01$ percent.

Note: Enter your ROI answers as a percentage rounded to two decimal places, $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}34\%.$