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In the Virginia and Kentucky Resolutions,it was asserted that
Net Operating Income
The profit generated from a company’s everyday business operations, calculated by subtracting operating expenses from revenue.
Minimum Required Rate
The lowest rate of return or discount rate acceptable for a project or investment to proceed.
Residual Income
Residual Income (RI) is the net income an organization generates beyond the minimum rate of return on its investments.
Operating Assets
Assets that are used in the day-to-day operations of a business to generate income, including both current and long-term assets.
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