E10-9 (Algo) Evaluating Managerial Performance Using Return on Investment, Residual Income [LO 10-4, 10-5] Luke Company has three divisions: Peak, View, and Grand. The company has a hurdle rate of 6.01 percent. Selected operating data for the three divisions follow: Peak View Grand Sales revenue $ 329,000 $ 222,000 $ 318,000 Cost of goods sold 200,000 103,000 200,000 Miscellaneous operating expenses 38,000 32,000 35,000 Average invested assets 1,370,000 960,000 1,065,000 Required: 1. Compute the return on investment for each division. 2. Compute the residual income for each division.