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Cabal Products is a division of a major corporation. Last year the division had total sales of $11,650,000, net operating income of $1,141,700, and average

Cabal Products is a division of a major corporation. Last year the division had total sales of $11,650,000, net operating income of $1,141,700, and average operating assets of $3,495,000. The company's minimum required rate of return is 11%.

The division's residual income is closest to:

$1,141,700

$757,250

$(768,900)

$1,526,150

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