Perry Corporation is composed of three operating divisions. Overall, the Perry Corporation has a return on investment of 20%. Division A has a return on investment of 25%. If Perry Corporation. evaluates its managers on the basis of return on investment, how would the Division A manager and the Perry Corporation president react to a new investment that has an estimated return on investment of 23%?
A) accept accept
B) accept reject
C) reject accept
D) reject reject
Correct Answer:
Verified
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A)only asset
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