EXERCISE 112 Residual Income [LO112] 11-2 Juniper Design Ltd. of Manchester, England, is a company specializing in providing design services to residential developers. Last year the company had net operating income of $600,000 on sales of $3,000,000. The companys average operating assets for the year were $2,800,000 and its minimum required rate of return was 18%. Required: Compute the companys residual income for the year.