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Abbe Company reported the following financial numbers for one of its divisions for the year; average total assets of $4,180,000; sales of $4,605,000; cost of
Abbe Company reported the following financial numbers for one of its divisions for the year; average total assets of $4,180,000; sales of $4,605,000; cost of goods sold of $2,630,000; and operating expenses of $1,452,000. Assume a target income of 9% of average invested assets. Compute residual income for the division: |
$146,800.
$156,800.
$104,300.
$177,750.
$47,070.
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