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Financial data for Joel de Paris, Inc., for last year follow:

Joel de Paris, Inc. Balance Sheet
	Beginning Balance			Ending Balance
Assets
Cash	$	130,000		$	131,000
Accounts receivable		338,000			485,000
Inventory		567,000			478,000
Plant and equipment, net		835,000			816,000
Investment in Buisson, S.A.		394,000			432,000
Land (undeveloped)		255,000			246,000
Total assets	$	2,519,000		$	2,588,000
Liabilities and Stockholders' Equity
Accounts payable	$	388,000		$	349,000
Long-term debt		953,000			953,000
Stockholders' equity		1,178,000			1,286,000
Total liabilities and stockholders' equity	$	2,519,000		$	2,588,000

Joel de Paris, Inc. Income Statement
Sales					$	5,103,000
Operating expenses						4,337,550
Net operating income						765,450
Interest and taxes:
Interest expense	$	117,000
Tax expense		197,000				314,000
Net income					$	451,450

The company paid dividends of $343,450 last year. The Investment in Buisson, S.A., on the balance sheet represents an investment in the stock of another company. The company's minimum required rate of return of 15%.

Required:

1. Compute the company's average operating assets for last year.

2. Compute the companys margin, turnover, and return on investment (ROI) for last year. (Do not round intermediate calculations and round your final answers to 2 decimal places.)

3. What was the companys residual income last year?

\begin{tabular}{|l|l|l|l|} \hline & & \\ \hline 1. & Average operating assets & & \\ \hline 2. & Margin & & % \\ \hline & Turnover & & \\ \hline & ROl & & \\ \hline 3. & Residual income & \\ \hline \end{tabular}

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