Payne Company Reported the Following Information for the Current Year

question 9

Multiple Choice

Payne Company reported the following information for the current year: $\begin{array}{llr} \text {Sales } &\$1,600,000\\ \text { Average operating assets} &\$500,000\\ \text { Desired ROI } &14\%\\ \text { Operating income } &\$85,000\end{array}$
The company's residual income was:

• A) $(15,000).
• B) $14,000.
• C) $15,000.
• D) $24,000.

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Definitions:

Economic Success

Achieving financial stability and prosperity through various means such as employment, investment, or entrepreneurship.

Intellectual Achievement

The accomplishment of cognitive goals, such as solving problems, acquiring knowledge, and understanding complex concepts, often measured through testing or academic performance.

Health and Safety

Practices, guidelines, and policies designed to prevent accidents and protect individuals from harm and health hazards, particularly in the workplace.

Social Competence

The ability to interact effectively with others, including understanding and managing social situations and relationships.