Cabell products is a division of a major corporation. last year the division had total sales of $25,060,000, net operating income of $1,503,600, and average operating assets of $7,518,000. the company's minimum required rate of return is 19%. the division's residual income is closest to:

Ancho corp. is an automobile company whose core competency lies in manufacturing petrol- and diesel- based cars. the company realizes that more of its potential customers are switching to electric cars. the r& d department of the company acquires competencies in developing electric cars and launches its first hybrid car, which uses both gas and electricity. in this scenario, ancho is primarilya. leveraging new core competencies to improve current market position. b. redeploying existing core competencies to compete in future markets. c. unlearning existing core competencies to create and compete in markets of the future. d. building new core competencies to protect and extend current market position