subject
Business, 16.04.2020 00:18 gameranonymous266

Kelfour Enterprises has divided its operations into two divisions. Relevant accounting data for each division is as follows: Divisions Sales Operating Assets Operating Income Western Division $ 150,000 $ 100,000 $ 15,000 Eastern Division $ 300,000 $ 150,000 $ 16,500 Kelfour has an additional $50,000 of funds to invest. The manager of the Western Division believes that she can invest the funds at a rate of return (ROI) of 14% while the manager of the Eastern Division has found a new investment opportunity that is expected to yield a 12% ROI. Currently Kelfour uses ROI as the sole measure of managerial performance. Based on this informationa. The manager of the Western Division would accept the $50,000 additional investment opportunity because it would increase the Division's RI by $2,000.
b. The manager of the Eastern Division would accept the $50,000 additional investment opportunity because it would increase the Division's RI by $2,000.
c. The CEO would be indifferent because the $50,000 additional investment would increase the RI of the company as a whole regardless of which Division receives the additional investment.
d. All of the answers represent true statements.

ansver
Answers: 3

Another question on Business

question
Business, 22.06.2019 03:30
Sarah salesrep is brand new to her job selling "lifetime" printers that never need replacement ink cartridges. the problem is that these printers cost ten times more than a regular printer, so it is difficult to get prospective buyers to understand the cost savings of buying it. to break through the barrier and begin making sales, sarah should use a analysis that highlights her printer's lower cost.
Answers: 3
question
Business, 22.06.2019 03:40
Electronics assembly inc. is a contract manufacturer that assembles consumer electronics for a number of companies. currently, the operations manager is assessing the capacity requirements as input into a bid for a job to assemble cell phones for a major global company. the company would assemble three models of cell phones in the same assembly cell. setup time between the phones is negligible. electronics assembly inc. operates two 8-hour shifts for 275 days per year. cell phone demand forecast (phones/year) processing time (minutes/phone) mars 47,000 19.8 saturn 35,000 20.7 neptune 7,500 16.2 a. calculate total capacity required by line. b. determine the total operating time available. c. calculate the total number of assembly cells. (round up your answer to the next whole number.)
Answers: 2
question
Business, 22.06.2019 04:00
Burberry is pursuing a focused differentiation strategy aimed at high-end luxury customers. however, the company is also employing a segmentation strategy to separate customers within that focus. the strategy offers items at an entry-level price point for customers who desire to be like celebrities such as sarah jessica parker as well as couture items for those richest and celebrity customers. what strategy is burberry pursuing?
Answers: 3
question
Business, 22.06.2019 11:30
Money from an allowance or job is known as .
Answers: 3
You know the right answer?
Kelfour Enterprises has divided its operations into two divisions. Relevant accounting data for each...
Questions
question
Biology, 10.02.2021 03:10
question
Mathematics, 10.02.2021 03:10
Questions on the website: 13722367