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The Bandage Medical Supply Company has two divisions that operate independently of one another. The financial data for the year 2019 reported the following results

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The Bandage Medical Supply Company has two divisions that operate independently of one another. The financial data for the year 2019 reported the following results North - South' Sales $6,000,000 + $5,000,000 Operating income + 1,500,000 + 1,100,000 Taxable income 1,300,000 + 750,000 Investment - 12,000,000 - 10,000,000 The company's desired rate of return is 10% Income is defined as operating income. What are the respective residual incomes for the North and South Divisions? $60,000 and $100,000 $300,000 and $60.000 $300 000 and $100.000 $100.000 and a negative $300.000 ? -N24 No * hp a 4 9

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