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Required information The following information applies to the questions displayed below A food manufacturer reports the following for two of its divisions for a recent
Required information The following information applies to the questions displayed below A food manufacturer reports the following for two of its divisions for a recent year (millions) Beverage Division Cheese Division $ 2,662 $4,455 Invested assets, beginning Invested assets. ending Sales Operating income 2,593 2,681 349 3.925 assume that each of the company's divisions has a required rate of return of 7%. Compute residual income for each Sivision (Enter your answers in millions.) ($ millions) Beverage Cheese Targeted return Target income Residual income Beverage Cheese Residual income
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