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Juniper Design Ltd. of Manchester, England, provides design services to residential developers. Last year, the company had net operating income of $400,000 on sales of

Juniper Design Ltd. of Manchester, England, provides design services to residential developers. Last year, the company had net operating income of $400,000 on sales of $1,300,000. The companys average operating assets for the year were $1,500,000 and its minimum required rate of return was 13%.

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Compute the companys residual income for the year.

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