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ROI and Residual Income
You are trying to determine which of two retail clothing stores would be a more beneficial investment to you. You have a minimum required rate of return of 7 percent and have collected the following information about the two stores:
Required:
Calculate the ROI and residual income for each store. Do not round your intermediate calculations. If required, round your answers to two decimal places. Do not include a percent sign as part of your answer.
Explain the meaning of your calculations.
The input in the box below will not be graded, but may be reviewed and considered by your instructor.
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