5. Cabell Products is a division of a major corporation. Last year the division had total sales of $25,060,000, net operating income of $1,503,600, and average operating assets of $7,518,000. The company's minimum required rate of return is 19%.

The division's residual income is closest to:

Multiple Choice

• $1,503,600

• $75,180

• $(2,856,840)

• $2,932,020

6. The Consumer Products Division of Goich Corporation had average operating assets of $500,000 and net operating income of $41,500 in May. The minimum required rate of return for performance evaluation purposes is 12%.

What was the Consumer Products Division's minimum required return in May?

Multiple Choice

• $4,980

• $41,500

• $64,980

• $60,000

7. Kingcade Corporation keeps careful track of the time required to fill orders. Data concerning a particular order appear below:

	Hours
Wait time	18.8
Process time	1.6
Inspection time	0.6
Move time	2.5
Queue time	9.6

The throughput time was:

Multiple Choice

• 33.1 hours

• 4.7 hours

• 28.4 hours

• 14.3 hours