The following information is available on Xebra Company:
Sales: $90,000
Net operating income: 3,600
Average operating assets: 30,000
Stockholders' equity: 25,000
Minimum required rate of return: 10%
Xebra Company's residual income would be:
a) $ 600.
b) $ 360.
c) $5,400.
d) $1,100.