The correct answer is B that is Accepting the investment as long as its ROI is positive.
ROI, or return on investment, is a measure of the profitability of an investment. It is calculated by dividing the net profit generated by the investment by the cost of the investment. A positive ROI indicates that the investment has generated a profit, while a negative ROI indicates a loss.
In this case, the manager of Division A is considering an additional investment for the coming year. The manager will likely choose to accept the investment as long as it provides a positive ROI, meaning that it generates a profit. Option d, rejecting the investment if it returns less than 15% ROI, would not be a viable option because it does not take into account the profitability of the investment. Option a, accepting the investment as long as it provides positive operating income, would also not be a viable option because operating income is not the same as ROI. Options c and e, rejecting the investment if it returns more or less than 15% ROI, respectively, would not be viable options because they do not take into account the overall profitability of the investment.
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