Chace Products is a division of a major corporation. Last year the division had total sales of $21,300,000, net operating income of $575,100, and average operating assets of $5,000,000. The company's minimum required rate of return is 12%.

The division's residual income is closest to:

Multiple Choice

• $(1,980,900)

• $1,175,100

• $(24,900)

• $575,100