Question
The Qi Division of Tiana Company has the following data related to a particular period: Average invested capital $ 699,569 Imputed interest rate 10.6 %
The Qi Division of Tiana Company has the following data related to a particular period:
| Average invested capital | $ | 699,569 |
|
| Imputed interest rate |
| 10.6 | % |
| Revenues | $ | 2,069,875 |
|
| Variable costs | $ | 1,112,374 |
|
| Fixed costs related solely to the division | $ | 669,776 |
|
Calculate the amount of residual income for the Qi Division for the period.
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Intermediate Accounting Volume 1
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
17th Edition
1119613698, 978-1119613695
