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Determining missing items in return on investment and residual income computations The following table presents various rates of return on investment and residual incomes: Invested

Determining missing items in return on investment and residual income computations

The following table presents various rates of return on investment and residual incomes:

Invested Assets Operating Income Return on Investment Minimum Rate of Return Minimum Acceptable Operating Income Residual Income
$880,000 $228,800 (a) 15% (b) (c)
540,000 (d) (e) (f) $59,400 $27,000
350,000 (g) 14% (h) 38,500 (i)
260,000 54,600 (j) 13% (k) (l)

Determine the missing items, identifying each item by the appropriate letter.

Round dollar amounts to the nearest whole number.

Answer
a. fill in the blank 1 %
b. $fill in the blank 2
c. $fill in the blank 3
d. $fill in the blank 4
e. fill in the blank 5 %
f. fill in the blank 6 %
g. $fill in the blank 7
h. fill in the blank 8 %
i. $fill in the blank 9
j. fill in the blank 10 %
k. $fill in the blank 11
l. $fill in the blank 12

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