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Presented below is selected information for three regional divisions of Medina Company. Divisions North West South Contribution margin $299,600 $499,700 $401,000 Controllable margin $141,000 $360,000
Presented below is selected information for three regional divisions of Medina Company. Divisions North West South Contribution margin $299,600 $499,700 $401,000 Controllable margin $141,000 $360,000 $210,000 Average operating assets $940,000 $1,500,000 $1,400,000 Minimum rate of return 11 % 14 % 8 %
Compute the residual income for each division. North Division $ West Division $ South Division $
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