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Which of the following is a true statement regarding the evaluation of an investment center?...

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Accounting

Which of the following is a true statement regarding the evaluation of an investment center?

Return on investment may be high because of old equipment that is fully depreciated.

Residual income does not take into account the level of investment in fixed assets.

Return on investment does not take into account the level of investment in fixed assets.

None of the above.

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