QS 22-10 Computing residual income LO A1 The following information is provided for each division. Investment Center Cameras and camcorders Phones and communications Computers and accessories Net Income $6,850,000 2,226,000 1,050,000 Average Assets $ 26,300,000 15,900,000 16,400,000 Assume a target income of 14% of average invested assets. Required: Compute residual income for each division (Enter losses with a minus sign.) Target Income Cameras and Camcorders Phones and Communications Computers and Accessories Targeted return Target income % % % Residual Income Cameras and Camcorders Phones and Communications Computers and Accessories Residual income (loss) QS 22-15 Cash conversion cycle and efficiency LO A4 (1) Use the information below to compute the number of days in the cash conversion cycle for each company. (2) Which company is more effective at managing cash? Spartan Co. Chen Co. Days' sales in accounts receivable 72 85 Days' sales inventory 40 44 Days' sales in accounts payable 47 52 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Use the information below to compute the number of days in the cash conversion cycle for each company. Spartan Co. Chen Co. Cash to cash conversion cycle Required 2 > EUIZ 5007 BW2 Principles of Managerial. Connect Saved QS 22-15 Cash conversion cycle and efficiency LO A4 (1) Use the information below to compute the number of days in the cash conversion cycle for each company. (2) Which company is more effective at managing cash? Spartan Co. Chen Co. Days' sales in accounts receivable Days' sales inventory 44 Days' sales in accounts payable 52 85 72 40 47 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Which company is more effective at managing cash? More Effective Cash Management