Kaler Company has sales of $$1,310,000,$ cost of goods sold of $$760,000,$ other operating expenses of $$173,000,$ average invested assets of $$3,900,000,$ and a hurdle rate of $12$ percent.

Required:

Determine Kaler's return on investment $($ROI$),$ investment turnover, profit margin, and residual income.

Several possible changes Kaler could face in the upcoming year follow. Determine each scenario's impact on Kaler's ROI and residual income. $($Note: Treat each scenario independently.$)$

a$.$ Company sales and cost of goods sold increase by $10$ percent.

b$.$ Operating expenses increase by $$78,000.$

c$.$ Operating expenses decrease by $20$ percent.

d$.$ Average invested assets decrease by $$335,000.$

e$.$ Kaler changes its hurdle rate to $9$ percent.

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

Determine Kaler's return on investment $($ROI$),$ investment turnover, profit margin, and residual income.

Note: Do not round your intermediate calculations. Enter your ROI and Profit Margin answers to $2$ decimal places $($i$.$e$.0\mathrm{.}1234$