Vik Exercise 9-9A (Algo) Residual income LO 9-3Munoz Corporation has a desired rate of return of 9 percent. William Tobin is in charge of one of Munoz's three investment centers. Hiscenter controlled operating assets of $2,500,000 that were used to earn $267,000 of operating income.RequiredCompute Mr. Tobin's residual income.Residual income

Residual income denotes the excess of income over the minimum required rate of return.. The…

xercise 9-9A (Algo) Residual income LO 9-3 unoz Corporation has a desired rate of return of 9 percent. William Tobin is in charge of one of Munoz's three investment centers. His enter controlled operating assets of $2,500,000 that were used to earn $267,000 of operating income. equired ompute Mr. Tobin's residual income. Residual income

xercise 9-9A (Algo) Residual income LO 9-3 unoz Corporation has a desired rate of return of 9 percent. William Tobin is in charge of one of Munoz's three investment centers. His enter controlled operating assets of $2,500,000 that were used to earn $267,000 of operating income. equired ompute Mr. Tobin's residual income. Residual income

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter10: Evaluating Decentralized Operations

Section: Chapter Questions

Problem 5BE: Residual income The Commercial Division of Galena Company has operating income of 12,680,000 and...

See similar textbooks

Similar questions

Exercise 9-9A Residual income LO Schiavo Corporation has a desired rate of return of 8 percent. Frank Rodomil is in charge of one of Schiavo's three investment centers. His center controlled operating assets of $2,500,000 that were used to earn $260,000 of operating income. Required Compute Mr. Rodomil's residual income.
Exercise 15-12A (Algo) Return on investment LO 15-6 An investment center of Vernon Corporation shows an operating income of $8,505 on total operating assets of $63,000. Required Compute the return on investment. (Round your answer to 2 decimal places. (i.e., 0.2345 should be entered as 23.45).) Return on investment %
Exercise 11-9 (Algo) Return on Investment (ROI) and Residual Income Relations [LO11-1, LO11-2] Supply the missing data for three service companies shown in the table below. Note: Loss amounts should be Indicated by a minus sign. Round your percentage answers to nearest whole percent. Sales Net operating income Average operating assets Return on investment (RO Minimum required rate of return. Percentage Dollar amount Residual income A Company B C S 9,240,000 S 7.400.000 S 306,000 $ 4,880.000 S 3,080,000 S 1,944.000 15 % 18 % 96 13 % 96 S 340,000 18 96 $ 97.200
10
Brief Exercise 9-4 (Algo) Calculating return on investment LO 9-4 The following financial information pertains to Smith Architects: Net income Items Beginning assets Ending assets Year 4 $ 241,000 782,000 982,000 a-1. Return on investment Year 3 a-2. Return on investment Year 4 b. The company performed better in Year 3 $ 221,000 706,000 786,000 Required: a. Calculate Smith Architects return on investment for Year 3 and Year 4. Note: Round percentages to 1 decimal place. b. Did the company perform better in Year 3 or Year 4? % %
☐ E 1 2 ChairCo, Inc. reports the following financial information for its Table Division: Average operating assets $2,095,000 Controllable margin Minimum rate of return $246,224 10 % Compute the residual income for the Table Division. 3 Type your answer...
QUESTION 26 Top management is trying to determine which would be the best choice of the following investment opportunities: Data of investment choices: 1 Sales $10,000,000 Operating income 200,000 Average operating assets 2,000,000 Required: Compute the Residual Income assuming a minimum required rate of return of 8%. $40,000 $0 $50,000 $(40,000)
Question Content Area Mason Corporation had $ 1,020,000 in invested assets, sales of $1,217,000, operating income amounting to $217,000, and a desired minimum return on investment of 13 % . The residual income for Mason Corporation is a. ($5,300) b $0 c. $84, 400 d. $118, 160
help question 8
24
Residual income The Commercial Division of Galena Company has operating income of 12,680,000 and assets of 74,500,000. The minimum acceptable return on assets is 12%. What is the residual income for the division?
A1 i need all solution........