PA10-3 Evaluating Managerial Performance, Proposed Project Impact on Return on Investment, Residual Income [LO 10-4,10-5 Wescott Company has three divisions: A, B, and C. The company has a hurdle rate of 8 percent. Selected operating data for the three divisions are as follows Division A Division B Division C Sales revenue Cost of goods sold Miscellaneous operating expenses Interest and taxes Average invested assets S 1,235,000 S 1,186,000 $ 1,206,000 876,000 67,000 55,000 10,722,000 2,588,000 4,255,000 763,000 78,000 62,000 871,000 66,000 55,000 Wescott is considering an expansion project in the upcoming year that will cost $6.7 million and return S598,000 per year. The project would be implemented by only one of the three divisions. 6. Compute the new ROl and residual income for each division if the project was implemented within that division. (Loss amounts should be entered with a minus sign. Enter your ROI percentage answers to 2 decimal places. (i.e., 01234 should be entered as 12.34% .)) Resi Income (Loss) ROI Division A Division B Division C