Brookings Company evaluates its managers on the basis of return on investment. Division Three has a return on investment (ROI) of 15%, while the company as a whole has an ROI of only 10%. Which of the following performance measures will motivate the manager of Division Three to accept a project earning a 12% return?
A. Neither ROI nor residual income will motivate the manager to accept the project.
B. ROI.
C. Both ROI and residual income will motivate the manager to accept the project.
D. Residual income.
Answer: D
You might also like to view...
All of the following are characteristics of the strategic planning process except the
a. emphasis on both the short and long run. b. review of the attributes and behavior of the organization's competition. c. analysis of external economic factors. d. analysis of consumer demand.
My job has many pieces that stretch my ability every day. This is a(n) ______.
A. challenging task characteristic B. repetitive task characteristic C. unclear task characteristic D. mundane task characteristic
________ attempts to have prospects imagine using the product themselves.
A. Ideal-self suggestion B. Empathetic suggestion C. Prestige suggestion D. Suggestive proposition E. Autosuggestion
When a shareholder sells the stock of the corporation, the ownership of the corporation changes, and a new corporation is formed
Indicate whether the statement is true or false