Joel de Paris, Inc. Balance Sheet Beginning Balance Ending Balance 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 $ 131,000 349,000 564,000 816,000 401,000 253,000 $ 2,514,000 $ 129,000 481,000 488,000 802,000 426,000 250,000 $ 2,576,000 $ 385,000 1,040,000 1,089,000 $ 2,514,000 $ 336,000 1,040,000 1,200,000 $ 2,576,000 Joel de Paris, Inc. Income Statement Sales Operating expenses Net operating income Interest and taxes: Interest expense $ 113,000 Tax expense 195,000 Net income $ 4,136,000 3,515,600 620,400 308,000 312,400 $ The company paid dividends of $201,400 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: Joel de Paris, Inc. Income Statement Sales Operating expenses Net operating income Interest and taxes: Interest expense $ 113,000 Tax expense 195,000 Net income $ 4,136,000 3,515,600 620,400 308,000 312,400 $ The company paid dividends of $201,400 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? 1. $ 2. Average operating assets Margin Turnover 2,545,000 15.00 % 1.63 ROI % 3. Residual income