The Markham Division of World Corporation, which has income of $250,000 and an asset investment of $1,562,500, is studying an investment opportunity that will cost $450,000 and yield a profit of $67,500. Assuming that World uses an imputed interest charge of 14%, would the investment be attractive to:1-Divisional management if ROI is used to evaluate divisional performance?2-Divisional management if residual income (RI) is used to evaluate divisional performance?3-The management of Global Corporation? Attractive to Markham: ROIAttractive to Markham: RIAttractive to World Corp.A.YesYesYesB.YesNoNoC.YesNoYesD.NoYesYesE.NoYesNo

A. Choice A
B. Choice B
C. Choice C
D. Choice D
E. Choice E


Answer: D

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Indicate whether the statement is true or false

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A liquidation differs from a dissolution in that in a liquidation

A) the business will not continue. B) assets may be revalued. C) gains are distributed according to the partnership agreement. D) there may be an adjustment of partners' Capital accounts.

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To create constancy of purpose for improvement of product and service, and to break down barriers between staff areas are two of W. Edwards Demming’s fourteen points of quality that comprise his approach, the quality-based management known as:

a. TQC b. ISM c. ISO d. TQM

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