Residual Income Calculation

In accounting for a firm's equity, the Residual Income Valuation approach calculates the value of a company's equity based on the income earned above its required rate of return. This method takes into consideration the net income and the equity charge, which reflects the opportunity cost of equity capital. Consider a company that has a projected net income of $500,000 for the upcoming year and an equity capital of $2,000,000 with a required return of 10%.

What will be the residual income for this company in the upcoming year?