Dartford Company reported the following financial data for one of its divisions for the year; average investment center total assets of $5,100,000; investment center income $850,000; a target income of 12% of average invested assets. The residual income for the division is: Multiple Choice $1,462,000. $748,000. $714,000. $238,000. $952,000.

Pear co.’s income statement for the year ended december 31, as prepared by pear’s controller, reported income before taxes of $125,000. the auditor questioned the following amounts that had been included in income before taxes: equity in earnings of cinn co. $ 40,000 dividends received from cinn 8,000 adjustments to profits of prior years for arithmetical errors in depreciation (35,000) pear owns 40% of cinn’s common stock, and no acquisition differentials are relevant. pear’s december 31 income statement should report income before taxes of