Required information Axel Corporation (which has a weighted-average cost of capital of 12%) has two divisions with the following information Beta Division Cal Division Total Assets $720.000 $550,000 Current Liabilities $220,000 $110,000 After-Tax Operating Income $105,000 $110,000 ROI 15% 20% Each manager is offered an investment project opportunity that would increase each division's investment base by $10,000 and generate an additional profit for each division of $1,800. Which of the following is true? Multiple Choice If the company rewards managers for accepting any project with positive residual income, and the company's target return for projects is 20%, both division managers would accept the project