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Munoz Cough Drops operates two divisions. The following information pertains to each division for Year 1. Sales Operating income Average operating assets Company's desired rate

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Munoz Cough Drops operates two divisions. The following information pertains to each division for Year 1. Sales Operating income Average operating assets Company's desired rate of return Division A $ 202,000 $ 15,700 $ 58,000 17% Division B $88,000 $ 8,500 $45,000 17% Required a. Compute each division's residual income b. Which division increased the company's profitability more

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