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None or the above are weaknesses that are overcome by using Residual Income. Question 22 1 pts Prime Manufacturers has 2 investment centers - Division

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None or the above are weaknesses that are overcome by using Residual Income. Question 22 1 pts Prime Manufacturers has 2 investment centers - Division A and Division B. The Current ROI for Division A is 20% and the Minimum required return is 12%. The Current ROI for Division Bis 13% and the Minimum required return is 16%. A new product line can be manufactured by either Division A or Division B. The new product line will have an ROI of 14% according to the best estimates. Prime Manufacturers will only allow one division to produce the new project If both divisions have their performance evaluated using ROI then. o Only Division A will ask Prime Manufacturers to let them produce the new product Only Division B will ask Prime Manufacturers to let them produce the new product. Neither division will ask Prime Manufacturers to let them produce the new product. None of the above. Question 23 1 pts None of the above. Question 23 1 pts Prime Manufacturers has 2 investment centers - Division A and Division B. The Current ROI for Division A is 20% and the Minimum required return is 12%. The Current ROI for Division B is 13% and the Minimum required return is 16%. A new product line can be manufactured by either Division A or Division B. The new product line will have an ROI of 14% according to the best estimates. Prime Manufacturers will only allow one division to produce the new project. If both divisions have their performance evaluated using Residual Income then. Both divisions will ask Prime Manufacturers to let them produce the new product. o Only Division A will ask Prime Manufacturers to let them produce the new product. o Only Division B will ask Prime Manufacturers to let them produce the new product. O Neither division will ask Prime Manufacturers to let them produce the new product. Question 29 1 pts Beany Company is in the process of preparing a cash receipts schedule for October October sales are budgeted to be $1,000,000. Collections of sales are expected to be as follows: 50% in the month of sale 40% in the month following the sale 7% in the second month following the sale 3% uncollectible. Uncollected sales as of September 31st are $500,000 of which $100,000 represents uncollected August sales and $400,000 represents uncollected September sales. Cash receipts for October would be budgeted to be: $500,000 $820,000 $890,000 $667,000 None of the above

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