Residual income=Net operating income-(Average operating assets*minimum required rate of return)
=470,000-(2,200,000*16%)
which is equal to
=$118,000
Juniper Design Ltd. of Manchester, England, is a company specializing in providing design services to residential devel...
Juniper Design Ltd. of Manchester, England, is a company specializing in providing design services to residential developers. Last year the company had net operating income of $470,000 on sales of $1,800,000. The company's average operating assets for the year were $2,000,000 and its minimum required rate of return was 15%. Required: Compute the company's residual income for the year. Residual income
Juniper Design Ltd. of Manchester, England, is a company specializing in providing design services to residential developers. Last year, the company had net operating income of $450,000 on sales of $2,000,000. The company’s average operating assets for the year were $2,200,000 and its minimum required rate of return was 12%. Required: Compute the company’s residual income for the year.
Juniper Design Ltd. of Manchester, England, is a company specializing in providing design services to residential developers. Last year, the company had net operating income of $440,000 on sales of $2,200,000. The company's average operating assets for the year were $2,400,000 and its minimum required rate of return was 13%. 15 points Required: Compute the company's residual income for the year. Residual income еВook Hint Ask Print References 3
7. Juniper Design Ltd. of Manchester, England, is a company specializing in providing design services to residential developers. Last year the company had net operating income of $470,000 on sales of $1,700,000. The company's average operating assets for the year were $1,900,000 and its minimum required rate of return was 13% Required: Compute the company's residual income for the year. Residual income
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Juniper Design Ltd. of Manchester, England, is a company specializing in providing design services to residential developers. Last year the company had net operating income of $420,000 on sales of $1,600,000. The company's average operating assets for the year were $1,800,000 and its minimum required rate of return was 15%. Required: Compute the company's residual income for the year. Residual income
Juniper Design Ltd. of Manchester, England, is a company specializing in providing design services to residential developers. Last year the company had net operating income of $490,000 on sales of $1,900,000. The company's average operating assets for the year were $2,100,000 and its minimum required rate of return was 15%. Required: Compute the company's residual income for the year. Residual income
Juniper Design Ltd. of Manchester, England, is a company specializing in providing design services to residential developers. Last year, the company had net operating income of $420,000 on sales of $1,600,000. The company's average operating assets for the year were $1,800,000 and its minimum required rate of return was 15%. Required: Compute the company's residual income for the year. Residual income
Juniper Design Ltd. of Manchester, England, is a company specializing in providing design services to residential developers. Last year, the company had net operating income of $400,000 on sales of $1,700,000. The company's average operating assets for the year were $1,900,000 and its minimum required rate of return was 13%. Required: Compute the company's residual income for the year. Residual income
Juniper Design Ltd. of Manchester, England, is a company specializing in providing design services to residential developers. Last year, the company had net operating income of $480,000 on sales of $1,400,000. The company's average operating assets for the year were $1,600,000 and its minimum required rate of return was 12%. Required: Compute the company's residual income for the year. Residual income