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    Exam 24: Cost Allocation and Responsibility Accounting
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    RI (Residual Income)considers Both the Division's Operating Income and Its
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RI (Residual Income)considers Both the Division's Operating Income and Its

Question 27

Question 27

True/False

RI (Residual Income)considers both the division's operating income and its average total assets. In addition, it also incorporates another piece of information known as top management's target rate of return.

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