Teresa's Taco Co. had the following results during the most recent year: Sales $500,000; Residual income $5,000; investment turnover 2.5; and a required rate of return of 15%. The capital investment was:
A)$1,250,000
B)$75,000
C)$170,000
D)$200,000

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The Answer of Teresa's Taco Co. had the following results during the most recent year: Sales $500,000; Residual income $5,000; investment turnover 2.5; and a required rate of return of 15%. The capital investment was:
A)$1,250,000
B)$75,000
C)$170,000
D)$200,000