Question: Consider the information in Brief Exercise 25.5. Assume that the manager of division 2 has the opportunity to purchase a new piece of equipment for

Consider the information in Brief Exercise 25.5. Assume that the manager of division 2 has the opportunity to purchase a new piece of equipment for $3,000,000 that would increase earnings by $300,000 per year. Show the impact of this purchase on division 2's ROI. Would the manager of division 2 be motivated to undertake the investment? Why or why not?

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