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Financial data for Bridger Inc. for last year are as follows: BRIDGER INC. Balance Sheet Ending Balance Beginning Balance Assets Cash Accounts receivable Inventory Plant
Financial data for Bridger Inc. for last year are as follows: BRIDGER INC. Balance Sheet Ending Balance Beginning Balance Assets Cash Accounts receivable Inventory Plant and equipment, net Investment in Brier Company Land (undeveloped) Total assets $ 161,000 450,000 460,000 649,000 560,000 380,000 $ 156,000 310,000 540,000 674,000 530,000 380,000 $2,660,000 $2,590,000 Liabilities and Shareholders' Equity Accounts payable Long-term debt Shareholders' equity Total liabilities and shareholders' equity $ 450,000 1,000,000 1,210,000 $ 490,000 1,000,000 1,100,000 $2,660,000 $2,590,000 $4,250,000 3,740,000 BRIDGER INC. Income Statement Sales Operating expenses Operating income Interest and taxes: Interest expense $100,000 Tax expense 180,000 510,000 280,000 Net income $ 230,000 The company paid dividends of $128,000 last year. The "Investment in Brier Company" on the balance sheet represents an investment in the common shares of another company. Required: 1. Compute the company's margin, turnover, and ROI for last year. (Round your intermediate calculations and final answers to 1 decimal place.) % Margin Turnover ROI % 2. The board of directors of Bridger Inc. has set a minimum required return of 17%. What was the company's residual income last year? Residual income
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