The Western Division of Lance Company reported the following results from the past year. Shareholders require a return of 7%, while the weighted-cost-of-capital is 6%. Lance's corporate tax rate is 30%. Sales $700,000 Operating income $175,000 Total assets $1,500,000 600,000 Current liabilities What is the Western Division's Residual Income (RI)? O $77,500 O $100,000 $126,000 O $70,000