Mike Corporation uses residual income to evaluate the performance of its divisions. The company's minimum required rate of return is 14%. In January, the Commercial Products Division had average operating assets of $970,000 and net operating income of $143,700. What was the Commercial Products Division's residual income in January?
A) $7,900
B) ($20,118)
C) $20,118
D) ($7,900)

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The Answer of Mike Corporation uses residual income to evaluate the performance of its divisions. The company's minimum required rate of return is 14%. In January, the Commercial Products Division had average operating assets of $970,000 and net operating income of $143,700. What was the Commercial Products Division's residual income in January?
A) $7,900
B) ($20,118)
C) $20,118
D) ($7,900)

Mike Corporation Uses Residual Income to Evaluate the Performance of Its