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Selected data from Division A of Green Company are as follows:
Sales$400,000
Average investment$352,000
Operating income$44,000
Minimum rate of return 12%
Problem 1: If the minimum rate of return was 8%, Division A's residual income (RI) would be:
Multiple Choice
Option 1: $1,760.Option 2: $9,280.Option 3: $42,240.Option 4: $15,840.Option 5: $36,960.
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