The Information Below Is Provided by the Talbot Cleaning Supply

question 34

Multiple Choice

The information below is provided by the Talbot Cleaning Supply Company:
$\begin{array} { l r } \text { Sales } & \$ 200,000 \\\text { Operating profit } & 14,000 \\\text { Average operating assets } & 80,000 \\\text { Equity } & 50,000 \\\text { Minimum required rate of return } & 12 \%\end{array}$
Calculate residual profit.

• A)$8,000
• B)$4,400
• C)$5,000
• D)$4,000

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Definitions:

Delegate Council

A body that consists of representatives appointed or elected to act or speak for others.

Cabinet

A group of advisors or ministers chosen by the head of a country to head executive departments and assist in governance.

Mutual Aid

A voluntary reciprocal exchange of resources and services for mutual benefit among a group of people.

Socialization Group

A group formed for the purpose of learning social norms, values, and behaviors.