Solano Company has sales of $500,000, cost of goods sold of $370,000, other operating expenses of $50,000, average invested assets of $1,600,000, and a hurdle rate of 6 percent. Required: 1. Determine Solano's return on investment (ROI), investment turnover, profit margin, and residual income. (Loss amount should be indicated by a minus sign. Do not round your intermediate calculations. Round your "Investment Turnover" answer to 4 decimal places.) Return on Investment Investment Turnover Profit Margin Residual Income 2. Several possible changes that Solano could face in the upcoming year follow. Determine each scenario's impact on Solano's ROl and residual income. (Note: Treat each scenario independently.) a. Company sales and cost of goods sold increase by 30 percent. (Do not round your intermediate calculations. Round your "Return on Investment" answer to 2 decimal places.) Return on Investment Residual Income b. Operating expenses decrease by $10,000. (Loss amount should be indicated by a minus sign. Do not round your intermediate calculations. Round your "Return on Investment" answer to 2 decimal places.) Return on Investment Residual Income