true or false

1The term decentralized organization refers to an organization that delegates decision-making and operational responsibilities to managers of each segment of the organization 2 Operating income typically excludes items such as income tax expense, interest income, and interest expense. 3. Operating assets would include office buildings leased to other companies. When using the net book value to calculate return on investment (ROI), division managers controlling newer assets with little accumulated depreciation have an advantage over division managers controlling older assets with more accumulated depreciation. 5. Asset turnover is calculated as sales divided by average operating assets. 6. Return on investment (ROI) can be improved by decreasing operating profit margin 7. Residual income is the dollar amount of division operating profit in excess of the division's cost of acquiring capital to purchase operating assets. 8. When residual income is used to evaluate division managers, the goal for each division manager is to increase residual income over time. 9. The goal in establishing transfer pricing policies is to encourage managers to do what is in the best interest of the company, while also doing what is in the best interest of the division manager. 10. The cost-plus approach is the best approach for establishing transfer prices for all companies