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The area manager of the Vaughn Restaurants is considering two possible expansion alternatives. The required investments, expected controllable margins, and the ROls of each are
The area manager of the Vaughn Restaurants is considering two possible expansion alternatives. The required investments, expected controllable margins, and the ROls of each are as follows: Project Investment Controllable Margin ROI Winnipeg $302000 $102000 33.77% Regina $694000 $191000 27.52% The Vaughn segment has currently $5009000 in invested capital and a controllable margin of $1502700. Which one of following projects will increase the Vaughn division's current ROI? O both the Winnipeg and Regina options O only the Winnipeg option O only the Regina option O neither the Winnipeg nor the Regina options
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