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Financial data for Joel de Paris, Incorporated, for last year follow: Joel de Paris, Incorporated Balance Sheet Assets Cash Accounts receivable Inventory Plant and
Financial data for Joel de Paris, Incorporated, for last year follow: Joel de Paris, Incorporated Balance Sheet Assets Cash Accounts receivable Inventory Plant and equipment, net Investment in Buisson, S.A. Land (undeveloped) Total assets Liabilities and Stockholders' Equity Accounts payable Long-term debt Stockholders' equity Total liabilities and stockholders' equity Beginning Balance $ 139,000 347,000 570,000 844,000 393,000 249,000 $ 2,542,000 $ 383,000 953,000 1,206,000 Ending Balance $ 135,000 485,000 472,000 848,000 427,000 253,000 $ 2,620,000 $ 336,000 953,000 1,331,000 $ 2,542,000 $ 2,620,000 Sales Joel de Paris, Incorporated Income Statement Operating expenses Net operating income Interest and taxes: Interest expense Tax expense Net income $ 4,800,000 4,224,000 576,000 $122,000 196,000 318,000 $ 258,000 The company paid dividends of $133,000 last year. The "Investment in Buisson, S.A.," on the balance sheet represents an investment in the stock of another company. The company's minimum required rate of return of 15%. Required: 1. Compute the company's average operating assets for last year. 2. Compute the company's margin, turnover, and return on investment (ROI) for last year. (Round "Margin". "Turnover" and "ROI" to 2 decimal places.) 3. What was the company's residual income last year?
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