Dade Corp. has residual income of $10,000. If operating income equals $30,000 and the minimum required rate of return is 8%, what are average invested assets?

A. $250,000
B. $500,000
C. $375,000
D. $125,000


Answer: A

Business

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Which of the following is most likely the final stage of the business buying decision process?

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Any intercompany gain or loss on a downstream sale of land should be recognized in consolidated net income:I. in the year of the downstream sale. II. over the period of time the subsidiary uses the land. III. in the year the subsidiary sells the land to an unrelated party. 

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