One division of the Marvin Educational Enterprises has depreciable assets costing $4,010,000. The cash flows from these assets for the past three yea have been: The current (i.e., replacement) costs of these assets were expected to increase 20% each year. Marvin used the straight-line depreciation method and the estimated useful life is 10 -years with no salvage value. For return on investment (ROI) calculations, Marvin uses end-of-year balances. What is the residual income for each year, assuming the cost of capital is 12% and Marvin uses historical costs and gross book values to compute resid income? Multiple Choice Multiple Choice Option A Option B Option C Option D