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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	$	125,000	$	130,000
Accounts receivable		334,000		475,000
Inventory		574,000		482,000
Plant and equipment, net		847,000		833,000
Investment in Buisson, S.A.		402,000		434,000
Land (undeveloped)		249,000		254,000
Total assets	$	2,531,000	$	2,608,000
Liabilities and Stockholders' Equity
Accounts payable	$	371,000	$	343,000
Long-term debt		981,000		981,000
Stockholders' equity		1,179,000		1,284,000
Total liabilities and stockholders' equity	$	2,531,000	$	2,608,000

Joel de Paris, Inc. Income Statement
Sales		$	4,180,000
Operating expenses			3,636,600
Net operating income			543,400
Interest and taxes:
Interest expense	$ 118,000
Tax expense	201,000		319,000
Net income		$	224,400

The company paid dividends of $119,400 last year. The Investment in Buisson, S.A., on the balance sheet represents an investment in the stock of another company.

The board of directors of Joel de Paris, Inc., has set a minimum required rate of return of 16%. What was the companys residual income last year?

Net Operating income
Minimum required return
Residual Income

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