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Finch Corporation has a desired rate of return of 8 percent. William Tobin is in charge of one of Finch's three investment centers. His center

Finch Corporation has a desired rate of return of

8

percent. William Tobin is in charge of one of Finch's three investment centers. His center controlled operating assets of $

2, 450, 000

that were used to earn $

273, 000

of operating income.

Required

Compute Mr

.

Tobin's residual income.

Residual incom

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