Bungert Incorporated reported the following results from last year's operations: The company's minimum required rate of return is 12% and its average operating assets were $8,000,000. Last year's residual income was closest to:
A) $912,000
B) ($48,000)
C) $992,000
D) ($972,800)

Question

Bungert Incorporated reported the following results from last year's operations:  The company's minimum required rate of return is 12% and its average operating assets were $8,000,000. Last year's residual income was closest to:
A) $912,000 
B) ($48,000) 
C) $992,000 
D) ($972,800)

Quizplus · Accepted Answer

The Answer of Bungert Incorporated reported the following results from last year's operations:  The company's minimum required rate of return is 12% and its average operating assets were $8,000,000. Last year's residual income was closest to:
A) $912,000 
B) ($48,000) 
C) $992,000 
D) ($972,800)

Bungert Incorporated Reported the Following Results from Last Year's Operations