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 Sales $185,000 Operating income $60,000 Operating assets $375,000\begin{array}{lr}\text { Sales } & \$ 185,000 \\\text { Operating income } & \$ 60,000 \\\text { Operating assets } & \$ 375,000\end{array}

question 105

Multiple Choice

 Sales $185,000 Operating income $60,000 Operating assets $375,000\begin{array}{lr}\text { Sales } & \$ 185,000 \\\text { Operating income } & \$ 60,000 \\\text { Operating assets } & \$ 375,000\end{array} The manager can invest in an additional project that would require $40,000 investment in additional assets and would generate $6,000 of additional income. The company's minimum rate of return is 14%.
-Refer to Figure 12-2. What is the residual income for Stock Division with the additional project?


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