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X 4) Wilson Corporation has three divisions: A B. and C. The expected earnings and amount of investment in these divisions for the coming year

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X 4) Wilson Corporation has three divisions: A B. and C. The expected earnings and amount of investment in these divisions for the coming year are: Division Investment Earnings A $1,000,000 $ 100,000 B 1,500,000 400,000 C 2,500,000 500.000 A proposed investment that costs $500,000 and has projected earnings of $100.000 has been offered to each of the three divisions. All divisions can make this investment and the company's cost of capital is 10% If division managers are being evaluated based on return on investment. _ will invest in the project 0/6.66 Points all three managers the manager of division A the manager of division B the manager of division x 5) An investment base used in calculating ROI or economic profit that facilitates comparisons between years and between plants and facilities is _value. 0/6.66 Points gross book netbook net current market gross current market X 6) Factors influencing transfer pricing in multinational companies include 0/6.66 Points maximizing worldwide taxes and duties complying with legal restrictions placed on the setting of transfer prices such as the use of arm's-length" values required in the US. restrictions on sales tax to foreign owners imposed by foreign governments all of the above

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