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Rooney Inc. had $375,000 in invested assets, sales of $735,000, operating income amounting to $105,000, and a minimum acceptable rate of return of 12% on
Rooney Inc. had $375,000 in invested assets, sales of $735,000, operating income amounting to $105,000, and a minimum acceptable rate of return of 12% on its invested assets. The residual income for Rooney is:
Select one:
a. $42,500.
b. $20,500.
c. $60,000.
d. $37,500.
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