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Kipish [7]
4 years ago
10

Chicks Corporation had $1,100,000 in invested assets, sales of $1,210,000, income from operations amounting to $302,500, and a d

esired minimum return of 15%.
The residual income for Chicks is
Business
1 answer:
Vikentia [17]4 years ago
7 0

Answer:

The answer is  $137500

Explanation:

Solution

Recall that:

Chicks corporation had invested assets of =$1,100,000

Sales of = $1,210,000,

Income from operations resulting to = $302,500

Desired minimum return = 15%

Chicks residual income is =?

Now,

Particulars                         Amount

Net Income                        302500

Less: Minimum Return

        (1100000 x 15%)            165000

Residual Income                 137500

Therefore the residual income for chicks is $137500

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Explanation:

When companies import or export products in or out of the country, they are usually charged with a duty which they have to pay on the import or export of the products. This is called as the Tariff.

While considering the export of a product to another country, the import tariffs of that other country has a pretty much impact on the profits of that company's Sales. Higher the tariffs, lower the profits and vice versa.

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Learn more about import export tariffs at:

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