The information below is provided by the Talbot Cleaning Supply Company:
$\begin{array} { l r }
\text { Sales } & \$ 200,000 \
\text { Operating profit } & 14,000 \
\text { Average operating assets } & 80,000 \
\text { Equity } & 50,000 \
\text { Minimum required rate of return } & 12 \%
\end{array}$
Calculate residual profit.

Question

The information below is provided by the Talbot Cleaning Supply Company:
$\begin{array} { l r } 
\text { Sales } & \$ 200,000 \
\text { Operating profit } & 14,000 \
\text { Average operating assets } & 80,000 \
\text { Equity } & 50,000 \
\text { Minimum required rate of return } & 12 \%
\end{array}$
Calculate residual profit.

Quizplus · Accepted Answer

The Answer of The information below is provided by the Talbot Cleaning Supply Company:
$\begin{array} { l r } 
\text { Sales } & \$ 200,000 \
\text { Operating profit } & 14,000 \
\text { Average operating assets } & 80,000 \
\text { Equity } & 50,000 \
\text { Minimum required rate of return } & 12 \%
\end{array}$
Calculate residual profit.

The Information Below Is Provided by the Talbot Cleaning Supply