sive problem Saved Help Save & Exit Sub: Check my work PA10-1 (Algo) Calculating Return on Investment, Residual Income, Determining Effect of Changes in Sales, Expenses, Invested Assets, Hurdle Rate on Each [LO 10-4, 10-5] 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 $1,208,000 896,000 $ 312,000 $1,150,000 Stream Division $1,801,000 1,290,000 $ 511,000 $1,450,000 The company's hurdle rate is 6.26 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 11 percent. c. The company invests $248,000 in each division, an amount that generates $115,000 additional income per division 12 m 60 deg muennoint roman's contributinn maroin is entits fived 09 X W og 30 Dll FB F F5 EVO $ 4 V20 5 6 7 8 9 0 completion Return to question Answer is not complete Complete this question by entering your answers in the tabs below. Rea 1 Red 2A Req 28 Reg 20 Reg 2D Calculate return on investment (ROI) and residual income for each division for last year. (Enter your ROI answers as a percentage rounded to two decimal places, (.e., 0.1234 should be entered as 12.34%.)) River Division Stream Division RO: 27.13% 35.24% Residual income (Loss) Req2A > ventman'stribution marinkite DU DD SO Sad FY $ 4 * 00 5 6 7 9 { Y R U 0 I : F G J en innan trilutinn maron carattf W (3 DO Dll FE 80 3 FS + S & 7 0 8 4 5 6 { moeten R T Y 0 U 1 G J H F LE K mint m'entributinn maron caratter O DD DI FB 10 M F3 $ & 7 00 9 0 5 6 { a U 0 Y R [ - L K F G J ? V B N. M