$$\text { Reference: 12-04 }$$ Estes Company Has Assembled the Following Data for Its Divisions

question 81

Multiple Choice

$$\text { Reference: 12-04 }$$ Estes Company has assembled the following data for its divisions for the past year: $$\begin{array} { | l | l | l | } \hline & \text { Division A } & \text { Division B } \\\hline \text { Average operating assets } & \$ 500,000 & ? \\\hline \text { Sales } & ? & \$ 520,000 \\\hline \text { Net operating income } & \$ 100,000 & \$ 20,300 \\\hline \text { Turnover } & 1.25 & 4 \\\hline \text { Margin } & ? & 3.9 \% \\\hline \text { Minimum required rate of return } & 14 \% & ? \\\hline \text { Residual income } & ? & \$ 6,000 \\\hline\end{array}$$
-Division B's average operating assets are?

• A)$81,200.
• B)$2,080,000.
• C)$1,333,333.
• D)$130,000.

---

Definitions:

Refined Sugar

Processed sugar that has been stripped of its natural nutrients and fiber, commonly used as a sweetener in foods and beverages.

Scatterplot

A graph used to visually display the relationship between two quantitative variables.

Reading Scores

Quantitative measures or evaluations of a person's ability to understand and interpret written text.

Height

The measure of how tall a person or structure is from base to top.