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Residual Income The operating income and the amount of invested assets in each division of Conley Industries are as follows: Operating income Invested Assets Retall
Residual Income The operating income and the amount of invested assets in each division of Conley Industries are as follows: Operating income Invested Assets Retall Division $182,600 $830,000 Commercial Division 172,800 720,000 Internet Division 89,100 330,000 Assume that management has established a 10% minimum acceptable return for invested assets a. Determine the residual income for each division. Retail Division Commercial Division Internet Division $182,600 $172,800 $89,100 Operating income Minimum acceptable operating income as a percent of invested assets Residual income b... Which division has the most residual income? Commercial Division Internet Division Retall Division
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