Assume that the companys minimum desired rate of return on invested capital is 11 percent. Income .............

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Assume that the company’s minimum desired rate of return on invested capital is 11 percent.

Income ............. $ 4,000,000

Sates revenue ........... 50,000,000

Average invested capital ...... 20,000,000

Required:

Compute Dakota Division’s residual income for the year.

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Managerial Accounting

ISBN: 9780073022857

7th Edition

Authors: Ronald W Hilton

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Question Posted: Mar 12, 2013 03:29 AM

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Assume that the companys minimum desired rate of return on invested capital is 11 percent. Income .............

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Managerial Accounting

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