Problem 11-17 (Algo) Return on Investment (ROI) and Residual Income [LO11-1, LO11-2] Financial data for Joel de Paris, Inc., for last year follow: 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 128,000 344,000 565,000 883,000 395,000 245,000 $ 2,560,000 $ 128,000 477,000 489,000 866,000 428,000 246,000 $ 2,634,000 $ 376,000 1,041,000 1,143,000 $ 2,560,000 $ 337,000 1,041,000 1,256,000 $ 2,634,000 Joel de Paris, Inc. Income Statement Sales Operating expenses Net operating income Interest and taxes: Interest expense $ 126,000 Tax expense 191,000 Net income $ 5,238,000 4,609,440 628,560 317,000 311,560 $ The company paid dividends of $198,560 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 ROI Residual income % 3