ABC Co provided the following financial data: Assets: Cash Accounts receivable Inventory Property, plant and equipment (net) Investment in XYZ Co. Investement in Land Total assets Liabilities and owners' equity: Accounts payable Long-term debt Owners' equity Total liabilities and owners' equity ABC Co. Balance Sheet Beginning Balance $ 356,000 143,000 284,000 467,000 238,000 278,000 $1,766,000 Ending Balance $ 318,575 179,000 259,000 445,000 326,000 278,000 $1,805,575 $ 227,000 813,000 726,000 $1,766,000 $ 179,000 813,000 813,575 $1,805,575 ABC Co. Income Statement Sales Minus operating expenses $2,350,000 1,856,500 493,500 Net operating income Minus interest and taxes: Interest expense Tax expense Net income $101,200 172,725 273,925 $ 219,575 ABC paid dividends in the amount of $132,000. Required: a. Calculate ABC Co's margin, turnover, and return on investment for last year. b. ABC Co. requires a minimum required return of 38%. Calculate its residual income.