The Little Rock Division of Classics Companies Currently Reports a Profit

The Little Rock Division of Classics Companies currently reports a profit of $3.6 million.Divisional invested capital totals $9.5 million;the imputed interest rate is 12%.On the basis of this information,Little Rock's residual income is:

A) $432,000.
B) $708,000.
C) $1,140,000.
D) $2,460,000.
E) some other amount.