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Bobcat Division of Wildcat Company's operating results include: controllable margin $400,000; sales $4,400,000; and operating assets $1,600,000. The Bobcat Division's ROI is 25%. Management is

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Bobcat Division of Wildcat Company's operating results include: controllable margin $400,000; sales $4,400,000; and operating assets $1,600,000. The Bobcat Division's ROI is 25%. Management is considering a project with sales of $200,000, variable expenses of $120,000, traceable fixed costs of $80,000; and an asset investment of $300,000. Should management accept this new project? +2 No, since ROI will be lowered. Yes, since ROI will increase. Yes, since additional sales always mean more customers. No, since a loss will be incurred

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