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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 $ 154,000 $ 149,000

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

BRIDGER INC. Balance Sheet
Ending Balance Beginning Balance
Assets
Cash $ 154,000 $ 149,000
Accounts receivable 400,000 260,000
Inventory 410,000 490,000
Plant and equipment, net 686,000 731,000
Investment in Brier Company 490,000 460,000
Land (undeveloped) 310,000 310,000
Total assets $ 2,450,000 $ 2,400,000
Liabilities and Shareholders Equity
Accounts payable $ 200,000 $ 250,000
Long-term debt 1,000,000 1,000,000
Shareholders equity 1,250,000 1,150,000
Total liabilities and shareholders equity $ 2,450,000 $ 2,400,000

BRIDGER INC. Income Statement
Sales $ 4,100,000
Operating expenses 3,567,000
Operating income 533,000
Interest and taxes:
Interest expense $ 124,000
Tax expense 204,000 328,000
Net income $ 205,000

The company paid dividends of $100,000 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 companys margin, turnover, and ROI for last year. (Round your intermediate calculations and final answers to 1 decimal place.)

2. The board of directors of Bridger Inc. has set a minimum required return of 18%. What was the companys residual income last year?

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