Coolbrook Company has the following information available for the past year: Sales revenue Cost of goods sold and operating expenses River Division $1,201,000 880,000 Stream Division $1,010,000 1,294,000 $ 321,000 $ 516,000 $1,190,000 $1,530,000 Net operating income Average invested assets The company's hurdle rate is 7.51 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 10 percent. b. Operating income decreases by 11 percent. c. The company invests $259,000 in each division, an amount that generates $117,000 additional income per division. d. Coolbrook changes its hurdle rate to 5.51 percent.