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2. Ch 09 Practice Test Question 02 All of the following are criticisms of ROl...

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Accounting

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2. Ch 09 Practice Test Question 02 All of the following are criticisms of ROl except O when evaluating managers using ROI, managers may increase ROl in a way that is inconsistent with the company's strategy. O when evaluating managers using ROI, managers may inherit committed costs over which they have no control and this makes it dlifficult to fairly assess managerial performance O a manager who is evaluated based on ROl may reject investment opportunities that are profitable for the whole company but would have a negative impact on the manager's performance evaluation under an ROl evaluation system, managers are encouraged to make investments that are profitable for the entire company, but that would be rejected when using the residual income approach

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