UCV, VVV UTV, UVU Total Shareholder's Equity 150,000 $ 175,000 Total Liabilities & Shareholder's Equity 470,000 $ 515,000 Income Statement Cooper & Co. For the period ending December 31, 1986 Sales 414,000 Operating expenses 349,000 Earnings before interest and taxes 65,000 Interest expense 30,000 Earnings before taxes 35,000 Tax expense 10,000 Net earnings 25,000 Please calculate Cooper & Co.'s residual income if their minimum required rate of return is 20%. $13,000 $19,000Uperating expenses 34y,UUV Earnings before interest and taxes 65,000 Interest expense 30,000 Earnings before taxes 35,000 Tax expense 10,000 Net earnings 25,000 Please calculate Cooper & Co.'s residual income if their minimum required rate of return is 20%. $13,000 $19,000 $41,000 $24,000Financial data for Cooper & Co., a local pet supply retailer, is presented below. NB: Cooper & Co. owns shares of Nelson Inc., an unrelated company whose shares trade publicly on the Toronto Stock Exchange. 6 Balance Sheet Cooper & Co. As at December 31, 1986 Beginning Balance Ending Balance 9 Assets Cash 50,000 $ 70,000 Accounts Receivable 20,000 $ 25,000 1 12 Inventory 30,000 $ 35,000 Plant & Equipment 120,000 $ 110,000 Investment in Nelson Inc. 80,000 $ 100,000 Land (undeveloped) 170,000 $ 170,000 14 15 Total Assets 470,000 $ 510,000 Liabilities Accounts Payable 70,000 $ 90,000 Long-term Debt 250,000 $ 250,000 Total Liabilities 320,000 $ 340,000 Total Shareholder's Equity 150,000 $ 175,000