Problem 10-15 (Algo) Return on Investment (ROI) and Residual Income (LO10-1, LO10-2] Financial data for Joel de Paris, Incorporated for last year follow Joel de Paris, Incorporated Balance Sheet Beginning Balance Ending Balance Assets Cash Accounts receivable Inventory Plant and equipment, net Investment in Huisson, S.A. Land (undeveloped) Total assets Liabilities and Stockholders' Equity Accounts payable Long-term debt Stockholders' equity Total liabilities and stockholders' equity $ 127,800 342,800 567,000 814,000 395,800 248.000 5 2,493,000 $ 133,000 488,000 479,000 790,000 429,000 249,000 $ 2,568,000 5 386,000 1,826,000 1,081,600 $ 2,493,800 $ 350,000 1,026,000 1,192,000 52,568,000 Joel de Paris, Incorporated Income Statement Sales Operating expenses Net operating income Interest and taxes: Interest expense $ 118,000 Tax expense 195,000 Net income $ 5,236,000 4,502,960 733,040 313,000 $ 420,040 The company paid dividends of $309,040 last year. The "investment in Buisson SA." 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 (Do not round intermediate calculations and round your final answers to 2 decimal places.) 395,000 248,000 $ 2,493,000 429,000 249,000 $ 2,568,000 nousson, S.A. Land (undeveloped) Total assets Liabilities and Stockholders' Equity Accounts payable Long-term debt Stockholders' equity Total 11abilities and stockholders' equity $ 386,000 1,026,000 1,081,000 $ 2,493,000 $ 350,000 1,026,000 1, 192,000 $ 2,568,000 Joel de Paris, Incorporated Income Statement Sales Operating expenses Net operating income Interest and taxes: Interest expense $ 118,000 Tax expense 195,000 Net Income $ 5,236,000 4,582,960 733, 040 313,000 $ 420,040 The company paid dividends of $309,040 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. (Do not round intermediate calculations and round your final answers to 2 decimal places.) 3. What was the company's residual income last year? % 1. Average operating assets 2. Margin 2. Turnover 2. ROI 3. Residual income 96