Assume a company had net operating income of $300,000, sales of $1,500,000, average operating assets of $1,000,000, and residual income of $130,000. The companys minimum required rate of return on average operating assets is closest to:

a. 15% b. 16 c. 17% d. 18%

Assume a company has only one service department and one operating department. The service departments budgeted and actual variable costs for the period were $80,000 and $84,000, respectively. The budgeted units of service provided to the operating department were 40,000 units. The company properly assigned $82,000 of the service departments variable costs to the operating department. What must have been the actual units of service provided by the service department to the operating department?

a. 41000 b. 42000 c. 43000 d. 44000