If Operating Income Is $60,000, Average Operating Assets Are $240,000

question 8

Multiple Choice

If operating income is $60,000, average operating assets are $240,000, and the minimum required rate of return is 20%, what is the residual income?

• A)40%
• B)25%
• C)$12,000
• D)$48,000

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Definitions:

Heart Palpitations

A sensation that the heart is racing, pounding, fluttering, or skipping beats, often experienced even when there's no actual heart disease.

Panic Attack

A sudden onset of intense fear or discomfort, accompanied by physical and psychological symptoms such as heart palpitations and a feeling of losing control.

Hypervigilant

An enhanced state of sensory sensitivity accompanied by an exaggerated intensity of behaviors whose purpose is to detect threats.

Biological Relatives

Individuals who are related to one another by genetic connections, such as parents, siblings, and offspring.