PA$10-3($Algo$)$ Evaluating Managerial Performance, Proposed Project Impact on Return on Investment, Residual Income $[$LO $10-4,10-5]$

Wescott Company has three divisions: A$,$ B$,$ and C$.$ The company has a hurdle rate of $8$ percent. Selected operating data for the three divisions are as follows:

$\backslash$table$[[$Sales revenue,Division A$,$Division B$,$Division C$],[$Cost of goods sold,$$1,220,000,$$$1,243,000,$$$1,272,000$