Exercise 15-15A (Algo) Residual income LO 15-7 Benson Cough Drops operates two divisions. The following information pertains to each division for the year. Division A Division B Sales Operating income Average operating assets $205,000 $ 15,300 $81,000 $ 9,400 $ 62,000 Company's desired rate of return 11 $39,000 115 Required a. Compute each division's residual income.. b. Which division increased the company's profitability more? a. Division A Division B b. The division that increased the company's profitability more is Residual Income