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Assume a company reported the following results: Sales Variable expenses Contribution margin Fixed expenses Net operating income Average operating assets $400,000 260,000 140,000 40,000 $100,000

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Assume a company reported the following results: Sales Variable expenses Contribution margin Fixed expenses Net operating income Average operating assets $400,000 260,000 140,000 40,000 $100,000 $350,000 If the company's minimum required rate of return on average operating assets is 16%, its residual income would be: Multiple Choice $46,000 $45,000 $44,000. $47,000

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