The following selected data pertain to the Darwin Division of Beagle Co. for 2005:
|
Sales |
$400,000 |
|
Net income |
40,000 |
|
Capital turnover |
4 |
|
Imputed interest rate |
10% |
What was Darwin’s 2005 residual income?
- $0
- $ 4,000
- $10,000
- $30,000