Sales revenue Cost of goods sold and operating expenses Net operating income Average invested assets River Division $1,209,000 881,000 $ 328,000 $1,140,000 Stream Division $1,803,000 1.294,000 $ 509,000 $1,410,000 The company's hurdle rate is 701 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 9 percent. b. Operating income decreases by 8 percent, C. The company invests $244,000 in each division, an amount that generates $112,000 additional Income per division. d. Coolbrook changes its hurdle rate to 5.01 percent. Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Reg 2c 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%.)) Stream Division River Division % ROI Residual income (Loss) Sales revenuo Cost of goods sold and operating expenses Net operating income Average invested assets River Division $1,209,000 881,000 $ 328,000 $1,140,000 Stream Division $1,803,000 1,294,000 $ 509,000 $1,410,000 The company's hurdle rate is 7.01 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 9 percent b. Operating income decreases by 8 percent s. The company invests $244,000 in each division, an amount that generates $112,000 additional income per division d. Coolbrook changes its hurdle rate to 5.01 percent. es Complete this question by entering your answers in the tabs below. Req 1 Re 2A Reg 28 Req 2c Req 2D Recalculate ROI and residual income for each division for the independent situation that follows: Operating income increases by 9 percent. (Enter your ROI answers as a percentage rounded to two decimal places, (l.e., 0.1234 should be entered as 12.34%.), Loss amounts should be indicated with a minus sign.) River Division Stream Division ROI % Residual Income (Loss) Sales revenue Cost of goods sold and operating expenses Net operating income Average invested assets River Division $1,209,000 881,000 $ 328,000 $1,140,000 Stream Division $1,803,000 1, 294,000 $509,000 $1,410,000 OK The company's hurdle rate is 7.01 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 9 percent. b. Operating Income decreases by 8 percent C. The company invests $244,000 in each division, an amount that generates $112.000 additional income per division d. Coolbrook changes its hurdle rate to 5.01 percent Inces Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Reg 28 Reg 2C Req 2D Recalculate ROI and residual income for each division for the independent situation that follows: Operating income decreases by 8 percent. (Enter your ROI answers as a percentage rounded to two decimal places, (ie., 0.1234 should be entered as 12.34%.). Loss amounts should be indicated with a minus sign.) River Division Stream Division ROI % % Residual Income (Loss) B Sales revenue Cost of goods sold and operating expenses Net operating income Average invested assets River Division $1,209,000 881,000 $ 328,000 $1,140,000 Stream Division $1,803,000 1,294,000 5509,000 51,410,000 OOK The company's hurdle rate is 7.01 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 9 percent. b. Operating income decreases by 8 percent c. The company invests $244,000 in each division, an amount that generates $112,000 additional income per division d. Coolbrook changes its hurdle rate to 5.01 percent int rences Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Reg 28 Reg 2C Reg 20 Recalculate Rot and residual income for each division for the independent situation that follows: The company invests $244,000 in each division, an amount that generates $112,000 additional income per division (Enter your ROI answers as a percentage rounded to two decimal places, (l.e., 0.1234 should be entered as 12.34%.). Round your "Residual Income (Loss) answer to the nearest whole dollars. Loss amounts should be indicated with a minus sign.) Show less River Division Stream Division ROI Residual income (Loss) Sales revenue Cost of goods sold and operating expenses Net operating income Average invented assets River Division $1,209,000 881,000 $ 328,000 $1,140,000 Stream Division $1,803,000 1,294,000 $ 509,000 $1,410,000 The company's hurdle rate is 701 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 9 percent b. Operating income decreases by 8 percent c. The company invests $244.000 in each division, an amount that generates $112,000 additional income per division d. Coolbrook changes its hurdle rate to 5.01 percent Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Reg 28 Req 2c Reg 2D Recalculate ROI and residual income for each division for the independent situation that follows: Coolbrook changes its hurdle rate to 5.01 percent. (Enter your ROI answers as a percentage rounded to two decimal places, (.e., 0.1234 should be entered as 12.34%.). Loss amounts should be indicated with a minus sign.) River Division Stream Division % ROI Residual Income (Loss)
