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Given the following data: Return on investment 25% Turnover 2.5 Margin 10% Sales $100,000 Average operating assets $40,000 Minimum required rate of return 18% The

Given the following data:

Return on investment 25%
Turnover 2.5
Margin 10%
Sales $100,000
Average operating assets $40,000
Minimum required rate of return 18%

The residual income would be:

$2,800

$0

$6,000

$8,000

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