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Calculate the residual income

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Reference no: EM132198297

Question - Assume that Division Blue has achieved a yearly income from operations of $158,000 using $1,126,000 of invested assets. If management has set a minimum acceptable rate of return of 9%, calculate the residual income?

a. $56,660

b. $67,992

c. $45,328

d. $158,000

Reference no: EM132198297

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