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Coolbrook Company has the following information available for the past year: River Division Stream Division sales revenue $1,209,000 $1,815,000 Cost of goods sold and

Coolbrook Company has the following information available for the past year: River Division Stream Division sales revenue $1,209,000 $1,815,000 Cost of goods sold and operating expenses 897,000 1,281,000 Net operating income $ 312,000 $ 534,000 Average invested assets $1,060,000 $1,570,000 The company's hurdle rate is 6.51 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 9 percent. b. Operating Income decreases by 11 percent. c. The company invests $253,000 in each division, an amount that generates $117,000 additional Income per division. d. Coolbrook changes its hurdle rate to 4.51 percent. Complete this question by entering your answers in the tabs below. Req 1 Req ZA Req 28 Req 20 Req 20 Calculate return on investment (ROI) and residual income for each division for last year. (Enter your ROI answers as a percentage rounded to two decimal places, (i.e., 0.1234 should be entered as 12.34%.)) River Division Stream Division ROI Residual Income (Loss) Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Req 2C Req 2D Recalculate ROI and residual income for each division for the independent situation that follows: Operating income increases by 9 percent. (Enter your ROI answers as a percentage rounded to two decimal places, (i.e., 0.1234 should be entered as 12.34%.). Loss amounts should be indicated with a minus sign.) River Division Stream Division ROI % % Residual Income (Loss) Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Req 2C Req 2D Recalculate ROI and residual income for each division for the independent situation that follows: Operating income decreases by 11 percent. (Enter your ROI answers as a percentage rounded to two decimal places, (i.e., 0.1234 should be entered as 12.34%.). Loss amounts should be indicated with a minus sign.) River Division Stream Division ROI Residual Income (Loss) Complete this question by entering your answers in the tabs below. Req 1 Req ZA Req 28 Req 2C Req 2D Recalculate ROI and residual income for each division for the independent situation that follows: The company invests $253,000 in each division, an amount that generates $117,000 additional income per division. (Enter your ROI answers as a percentage rounded to two decimal places, (i.e., 0.1234 should be entered as 12.34%.). Round your "Residual Income (Loss)" answer to the nearest whole dollars. Loss amounts should be indicated with a minus sign.) Show less A River Division Stream Division ROI Residual Income (Loss) Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Req 2C Req 2D Recalculate ROI and residual income for each division for the independent situation that follows: Coolbrook changes its hurdle rate to 4.51 percent. (Enter your ROI answers as a percentage rounded to two decimal places, (i.e.. 0.1234 should be entered as 12.34%.). Loss amounts should be indicated with a minus sign.) River Division Stream Division ROI Residual Income (Loss)

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