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 $1,218,000 885,000 $ 333,000 $1,040,000 Stream Division $1,808,000 1,296,000 $ 512,000 $1,460,000 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 8 percent. b. Operating income decreases by 8 percent. C. The company invests $253,000 in each division, an amount that generates $112,000 additional income per division d. Coolbrook changes its hurdle rate to 4.51 percent