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    Survey of Accounting Study Set 7
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    Exam 14: Performance Evaluation for Decentralized Operations
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    If Divisional Operating Income Is $100,000, Invested Assets Are $850,000
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If Divisional Operating Income Is $100,000, Invested Assets Are $850,000

Question 24

Question 24

True/False

If divisional operating income is $100,000, invested assets are $850,000, and the minimum rate of return on invested assets is 8%, the residual income would be $32,000.

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