NUBD Division reported a residual income of P200,000 for the year just ended. The divisi had P8,000,000 of invested capital and P1,000,000 of income. On the basis of this inform the required rate of return was: (round-off to 1 decimal places) *

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
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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NUBD Division reported a residual income of P200,000 for the year just ended. The division
had P8,000,000 of invested capital and P1,000,000 of income. On the basis of this information,
the required rate of return was: (round-off to 1 decimal places) *
Sample format: 11.1%
Transcribed Image Text:NUBD Division reported a residual income of P200,000 for the year just ended. The division had P8,000,000 of invested capital and P1,000,000 of income. On the basis of this information, the required rate of return was: (round-off to 1 decimal places) * Sample format: 11.1%
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