The records for the Venusian Division show the following data: Asset base . . . . . $500,000 Sales revenues. . 725,000 Expenses . . . . . . 662,500 The Venusian Division is evaluated on ROI and during the last fiscal year, the Division ranked last among the twelve divisions of Volcano Industries. Venusian has an option to make an additional investment that would add $100,000 to the asset base. It would generate an additional $75,000 in sales revenue and incur $58,000 in additional expenses.

Required: Should this investment be undertaken by Division management? Provide an appropriate explanation for your recommendation.