Financial data for Bridger Inc. for last year are as follows:

BRIDGER INC.

Balance Sheet

Assets

Cash

Accounts receivable

Inventory

Plant and equipment, net

Investment in Brier Company Land (undeveloped)

Total assets

Liabilities and shareholders' equity

Accounts payable

Long-term debt

Shareholders' equity

Total liabilities and shareholders' equity

Ending

Balance

S

170,000

450,000

470,000

690,000

650,000

470,000

$2,900,000

430,000

1,100,000

1,370,000

$2,900,000

Beginning

Balance

165,000

310,000

550,000

715,000

620,000

470,000

$2,830,000

470,000

1,100,000

1,260,000

$2,830,000

BRIDGER INC.

Income Statement

Sales

Operating expenses

Operating income

Interest and taxes:

Interest expense

Tax expense

Net income

$140,000

220,000

$4,400,000

3,828,000

572,000

360,000

$ 212,000

The company paid dividends of $106,000 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 ROl for last year. (Round your intermediate calculations and final answers to 2

decimal places.)

2. With a minimum required return of 18%. What was the residual income last year?