Financial data for Beaker Company for last year appear below: Beaker Company Statements of Financial Position Beginning Balance Ending Balance Assets: Cash Accounts receivable Inventory Plant and equipment (net) Investment in Cedar Company Land (underdeveloped) Total assets $50,000 20,000 30,000 120,000 80,000 170,000 $470,000 $70,000 25,000 35,000 110,000 100,000 170,000 $510,000 $70,000 Liabilities and owners' equity: Accounts payable Long-term debt Owners' equity Total liabilities and owners' equity $90,000 250,000 250,000 150,000 $470,000 170,000 $510,000 Beaker Company Income Statement Sales $414,000 351,900 62,100 Less operating expenses Net operating income Less interest and taxes: Interest expense Tax expense Operating Income $30,000 10,000 40,000 $22.100 The company paid dividends of $2,100 last year. The "Investment in Cedar Company" on the statement of financial position represents an investment in the stock of another company. Required: a) Compute the company's margin, turnover, and return on investment for last year. b) The Board of Directors of Beaker Company have set a minimum required return of 20%. What was the company's residual income last year? Question Two (10 marks) Hatch Company has two divisions: O and E. During the year just ended, Division had a segment margin of $9,000 and variable costs equal to 70% of sales. Traceable fixed costs for Division E were $19,000. Hatch Company as a whole had a contribution margin of 40%, a segment margin of $25,000, Common costs of $10,000 and sales of $200,000. Given this data, prepare segmented income statements showing the Total as well as amounts for Division 0 and E