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How find the residual income of the new project

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Reference no: EM132461746

Problem - Lighting Inc.'s current net operating income is $16,800 and its average operating assets are $80,000. The company's required rate of return is 16%. A new project being considered would require an investment of $16,500 and would generate annual net operating income of $3,000.

Required - How find the residual income of the new project.

Reference no: EM132461746

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