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The Labrador Falls Company has three divisions: A Division, B Division, and C Division. B A $320,000 60,000 ? ? Sales Net operating income Residual
The Labrador Falls Company has three divisions: A Division, B Division, and C Division. B A $320,000 60,000 ? ? Sales Net operating income Residual income Average Division Assets Cost of Capital Profit Margin Asset Turnover Return on investment $540,000 ? 36,000 ? 16% 5% 4.0 C ? $24,000 14, 400 80,000 ? ? 12% 20% ? 15% ? ? ? What was A Division's residual income last year
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