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Following is information on two divisions: Division A Division B Sales margin 6.0% 7.0% Capital turnover 8.2 5.6 Which of the following must be true?

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Following is information on two divisions: Division A Division B Sales margin 6.0% 7.0% Capital turnover 8.2 5.6 Which of the following must be true? Division B generates relatively more revenues from its investments than Division A Division B has higher ROI than Division A Division A has higher ROI than Division B Division A has higher RI than Division B Relevant costs exclude Variable costs Costs that change from year to year Costs that do not change based upon the alternative choices None of the above

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