Sand company had sales of $4, variable costs of $2, and direct fixed costs totaling $1. the company’s operating assets total $8, and its required return is 10%. how much is the residual income?

$20,000

Explanation:

Residual income is the income that is in excess of the minimum rate of return required on a company. So in this case the required return is 10% which is the minimum rate of return, any money made after the 10% return is residual income. First we need to find income

Income = Sales - Fixed costs - Variable Costs

            =400,000-100,000-200,000

             =100,000

Now we have to find the return, and we can find it by dividing income by total operating assets so return =

100,000/800,000=0.125= 12.5%

Residual income = Return - Required Return

                          = 12.5%-10%= 2.5%

The residual income is 2.5% of the operating assets so

800,000* 0.025=20,000

net worth is the difference between what you own and what you have. if you exceed your liabilities you have a positive net worth. if your liabilities are greater than your assets you have a negative net worth. its a snapshot of your financial situation. if you calculate your net worth you will see the end result of everything you've earned and spent as of now. net worth statements and all you asked of can you determine where you are, how to get where you want to be, if your spending   to much. honestly it can tell you a lot of things. i can go on, but you can paint the picture from here.

explanation:

answer; /// the correct answer is (10) days; /// good luck