Refer to the data for Exercise 13 24 Assume that the
Refer to the data for Exercise 13–24. Assume that the company’s minimum desired rate of return on invested capital is 11 percent.
In Exercise 13–24.
Income.................................................................................. $ 10,000,000
Sales revenue........................................................................ 125,000,000
Average invested capital..................................................... 50,000,000

Required:
Compute Pensacola Division’s residual income for the year.

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