Actual output 7,900 units Required: Show the journal entry to record the incurrence of direct labor costs. Question 14: Iba Industries is a division of a major corporation. The following data are for the latest year of operations: Sales $5,820,000 Net operating income $436,500 Average operating assets $2,000,000 The company's minimum required rate of return 18 Required: What is the division's residual income