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Author Question: Major Corporation operates a wholesale electrical supply company with two locations. Each location ... (Read 57 times)

kaitlynndavis

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on: Feb 5, 2023
Major Corporation operates a wholesale electrical supply company with two locations. Each location is evaluated as an investment center. Selected results from the latest year are as follows:

​​Location #1Location #2
Sales$600,000$800,000
Variable expenses460,000660,000
Direct fixed expenses100,00080,000
Average assets890,000780,000
Current liabilities120,000180,000
Required rate of return10%12%
Weighted average cost of capital8%6%
Tax rate24%28%

Required:

a.Calculate the residual income for Location #1.
b.Calculate the EVA for Location #2.
Managerial Accounting ¦ Davis ¦ 4th Edition
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Marked as best answer by kaitlynndavis on Feb 5, 2023

jojo120419

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Reply #1 on: Feb 5, 2023
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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kaitlynndavis

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Reply 2 on: Feb 5, 2023
Great answer, keep it coming :)

Laurenleakan

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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