Payne Company Reported the Following Information for the Current Year

Multiple Choice

Payne Company reported the following information for the current year: $\begin{array}{llr} \text {Sales } &\$1,600,000\\ \text { Average operating assets} &\$500,000\\ \text { Desired ROI } &14\%\\ \text { Operating income } &\$85,000\end{array}$
The company's residual income was:

A) $(15,000) .
B) $14,000.
C) $15,000.
D) $24,000.