Question
The management of Cooke Industries obtained the following information about the performance of a major investment project. Revenues $300,000 Average Operating Assets $400,000 Net Operating
The management of Cooke Industries obtained the following information about the performance of a major investment project.
Revenues | $300,000 |
Average Operating Assets | $400,000 |
Net Operating Income | $40,000 |
Desired ROI | 10% |
The project's residual income was what?
| a. | $20,000. | |
| b. | 10% | |
| c. | $0. | |
| d. | $40,000 |
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Introduction To Financial Accounting
Authors: Anne Marie Ward, Andrew Thomas
9th Edition
1526803003, 978-1526803009
