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Most organizations use residual income instead of return on investment (ROI) as a performance measure. True or False True False If an intermediate market
Most organizations use residual income instead of return on investment (ROI) as a performance measure. True or False True False If an intermediate market exists but divisions are prohibited from buying or selling from the outside, the intermediate market can be ignored in determining the optimal transfer price. True or False True False Using net book values instead of gross book values to compute return on investment (ROI) might encourage an investment center manager to delay replacing inefficient assets until they are fully depreciated. True or False True False
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