Ewan Logistics Provides the Following Information What Is the Company's Residual Income?
A)$(450,000)
B)$390,000
C)$1,650,000
D)$1,110,000

question 23

Multiple Choice

Ewan Logistics provides the following information: $$\begin{array} { | l | r | } \hline \text { Operating income } & \$ 1,500,000 \\\hline \text { Net sales } & \$ 14,500,000 \\\hline \text { Average total assets } & \$ 1,950,000 \\\hline \text { Management's target rate of return } & 20 \% \\\hline\end{array}$$ What is the company's residual income?

• A)$(450,000)
• B)$390,000
• C)$1,650,000
• D)$1,110,000