A cost center is an organizational segment in which the manager is responsible for costs and revenues, but not investments in assets. True False Return on investments (ROI) can be calculated several different ways depending on the company. True False When residual income is used to evaluate division managers, the goal for each division manager is to increase residual income over time. True False An organizational segment that is responsible for costs and revenues is known as: a financing center. a profit center. a cost center. an investment center. None of the answer choices is correct. Average operating assets are calculated by adding the beginning balance of operating assets from Period 1 to the ending balance of operating assets from Period 1 and multiplying by two. True False Although economic value added (EVA) is similar to residual income, adjustments are made to the financial information to better reflect the economic results of the division. True False