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Determine the residual net income

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Reference no: EM133088501

Question - Company ABC has the following information:

ROI: 25%.

Capital turnover rate: 2.5

Net operating income rate: 10%.

Sales: $100,000

Average operating assets: $40,000

Minimum required rate of return: 18

Required - Determine the residual net income?

Reference no: EM133088501

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