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information for tube division is as follows: net earnings for division $20,000 asset base for division $50,000 target rate of return 16% operating income margin

information for tube division is as follows:

net earnings for division $20,000

asset base for division $50,000

target rate of return 16%

operating income margin 12%

weighted average cost of capitol 8%.

what is tubes residual income?

A - $13,000

B - $8,000

C- $16,000

D - $12,000

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