The owner of Oriole Toy Manufacturing Company has recently expanded his business in order to add...

Transcribed Image Text:

The owner of Oriole Toy Manufacturing Company has recently expanded his business in order to add an additional product line. In addition to toys, the company now sells shirts. The company has a minimum rate of return of 11%. Toys Shirts Sales Controllable margin $605,000 $205,000 125,000 15,000 Average operating assets 905,000 214,000 Compute the residual income for both investment centers. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Toys Residual Income $ Shirts +A $ The owner of Oriole Toy Manufacturing Company has recently expanded his business in order to add an additional product line. In addition to toys, the company now sells shirts. The company has a minimum rate of return of 11%. Toys Shirts Sales Controllable margin $605,000 $205,000 125,000 15,000 Average operating assets 905,000 214,000 Compute the residual income for both investment centers. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Toys Residual Income $ Shirts +A $