A. Calculate the return on investment (ROI) for each investment opportunity.

B. If you were the division manager and you were evaluated based on ROI, which investment opportunity would you accept? Explain your decision.

C. If you were president of Brothers, Incorporated, based on ROI, which project(s) would you want the division to accept? Explain your decision.

D. Calculate the Economic Value Added (EVA) for each investment opportunity if the Cost of Capital is 6% and tax rate is 30%. If you were the division manager and you were evaluated based on EVA, which investment opportunity would you accept? Explain your decision.

Question 2 Brothers, Incorporated, has just formed a new division, and the following four investment opportunities are available to the division. The firm requires a minimum return of 8 percent. Investment Opportunity 1 2 3 4 WN Income $57,600 75,000 60,000 59,500 Investment $ 640,000 600,000 1,000,000 850,000