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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. Beverage Division $2,695 2,609 2,697 Cheese Division $4,488 4,416 3,941 ($millions) Invested assets, beginning Invested assets, ending Sales Operating income 365 650 Assume that each of the company's divisions has a required rate of return of 8%. Compute residual income for each division. (Enter your answers In millions.) $ millions) Beverage Cheese Targeted return Target income Residual Income Beverage Cheese Residual income
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