Question 4.682 marks Conglomerate Group Lid has three major divisions and the summary financial data (in millions) 8x 2019 and 2020 are as follows: Operating Income Revenues Total Assets Division 2019 2020 2019 2020 2019 2020 S'm S'm S'm S'm S'm S'm Americas 450 $50 2.250 2,300 2,200 2,450 Pacific 130 160 3.000 3,200 1,350 1,500 Europe 110 100 800 825 1,250 1,300 Divisional managers have an annual bonus plan based on divisional return on investment (ROI) which is defined as operating income divided by total assets. Senior executives of divisions reporting increases in ROI from the prior year are automatically eligible for a bonus. Senior executives of divisions reporting a decline in the division ROI have to provide persuasive explanations for the decline to be eligible for a limited bonus. The general manager of the Pacific Division is considering a proposal to invest $300 million in new technology. The estimated increment to 2020 operating income would be $60 million. The company has a 12% required rate of return for investments in all three divisions