For the period just ended, Trek Corporation's Trailer Division reported profit of $60 million and invested capital of $460 million. Assuming an imputed interest rate of 5%, which of the following choices correctly denotes Trailers return on investment (ROI) and residual income? ROI Residual Income A. 13% $37 million B. 13% $(37 million) C. 5% $37 million D. $37 million 13% E. None of the answers is correct.

Multiple Choice

Choice A

Choice B

Choice C

Choice D

Choice E