Financial data for Bingham Company for last year appear below: Bingham Company Statements of Financial Position Beginning Balance Ending Balance Assets: Cash $135,000 $266,000 Accounts receivable 225,000 475,000 Inventory 314,000 394,000 Plant and equipment (net) 940,000 860,000 Investment in Car Company 104,000 101,000 Land (undeveloped) 198 000 65.000 Total assets $1.916 000 $2.161.000 Liabilities and owners' equity: Accounts payable $88,000 $119,000 Long-term debt 585,000 665,000 Owners' equity 1243.000 1377.000 Total liabilities and owners' equity $1.916 000 $2.161.000 Bingham Company Income Statement Sales $4,644,000 Less operating expenses 4.291 000 Net operating income 353,000 Less interest and taxes: Interest expense $90,000 Tax expense 129 000 219 000 Operating Income $134.000 The "Investment in Car 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 15%. What was the company's residual income last year? If a competitor has an Average- sporoling assets of $500,000 and has the same Residual income than Beaker Company, would you consider the competitor better and if so, why