The manager of Synergy Company's Stock Division projects the following for next year: Sales $221,870 Operating income 82,672 Operating assets 385,373 The manager can invest in an additional project that would require $58,427 investment in additional assets and would generate $9,772 of additional income. The company's minimum rate of return is $6%. What is the residual income for the Stock Division with the additional project. Do not round your intermediate calculations!!!

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Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.