Sales Assume the Hiking Shoes division of the All About Shoes Corporation had the following results last year (in thousands). Managements target rate of retum is 30% and the weighted average cost of capital is 20% its effective tax rate'is 25% $14,000,000 Operating income 2,800,000 Total assets 4,000,000 Current liabilities 850.000 What is the division's Residual income (RI)? OA $1,600,000 OB $2,000,000 OC $400,000 D$3,500,000