7. ABC Company is a decentralized company and has five autonomous divisions. Division managers are free to decide to accept or reject projects. The manager of Division A is currently evaluating various alternative projects for acceptance by the division. Data concerning each the projects are below: Project 1 2 3 Income $76,000 $77,000 $75.000 Investment $380,000 $700,000 $500,000 Assume that Division A's current ROI is 18% and the company's minimum required rate of return is 12%. ABC Company evaluates division managers based on ROI. Which projects should the manager of Division A accept? a. Project (1) only. b. Project (2) only. c. Projects (1) and (3) only. d. Projects (2) and (3) only