Residual Income Is Calculated As

question 35

Multiple Choice

Residual income is calculated as:

• A)Operating income - (required rate of return × average operating assets)
• B)Net income - (required rate of return × average operating assets)
• C)Operating income - (required rate of return × average equity)
• D)Net income - (required rate of return × average equity)

---

Definitions:

Prototypical Characteristics

describe the attributes that are most representative or characteristic of a particular category or class, especially in defining group membership.

Female Leaders

Women who hold positions of authority and responsibility in guiding, directing, or managing others.

Leadership Categorization Theory

A theory that suggests people evaluate leaders based on how closely their behaviors and traits match prototypes of leadership.

Perceived Characteristics

Attributes or qualities that are believed or seen to exist in something or someone.