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Baird Cough Drops operates two divisions. The following information pertains to each division for the year. Sales Operating income Average operating assets Company's desired rate

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Baird Cough Drops operates two divisions. The following information pertains to each division for the year. Sales Operating income Average operating assets Company's desired rate of return Division A $ 214,000 $ 16,190 $ 62,000 15% Division B $81,000 $ 9,200 $40,000 15% Required a. Compute each division's residual income. b. Which division increased the company's profitability more? Resuar Incom a. Division A Division B b. The division that increased the company's profitability more is

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