The following information relates to last year's operations at the Legumes Division of Gervani Corporation: Minimum required rate of return 12%   Return on investment (ROI) 15%   Sales $ 900,000   Turnover (on operating assets) 3 times What was the Legume Division's net operating income last year?

Cornerstones of Cost Management (Cornerstones Series)
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Chapter10: Decentralization: Responsibility Accounting, Performance Evaluation, And Transfer Pricing
Section: Chapter Questions
Problem 18E: The following selected data pertain to the Argent Division for last year: Required: 1. How much is...
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The following information relates to last year's operations at the Legumes Division of Gervani Corporation:

Minimum required rate of return 12%  
Return on investment (ROI) 15%  
Sales $ 900,000  
Turnover (on operating assets) 3 times

What was the Legume Division's net operating income last year?

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